65907 - Economic System in Agriculture

Learning outcomes

At the end of the course the student will develop basic skills to explain and describe the evolution of economic systems and the dynamics of agricultural systems. He/She will be able to collect and process the main data and to communicate ideas with different approaches and identify solutions for territorial problems.

Course contents

Prerequisite: The student must have a sound basic preparation,  in particular mathematics and Italian language (competences developed during the high school).
 
Programme: The topics are divided into 5 didactic units:
 
1. Introduction and objectives of the course
 
2. Basics (total didactic unit: 8 hours)
the definition of agriculture and its relation with the territory and the environment.
Traditional and modern agriculture
Agriculture in different economic systems
The definition of economics, its object and methods.
Macro- and micro- economics
Economics goods and needs
The different economic systems
The main economic problems: to produce what, how, for whom .
Learning outcomes: the student has the basics for explain the features of agriculture and its evolution within the different economic systems. He/she can understand the meaning and the elements of economic sciences.

3. To produce what  (total didactic unit: 12 hours)
The elementary theory of supply and demand.
The individual and collective demand function
The supply function
The price in competition
Elasticity of supply and demand
Marshal equilibrium of short and long term
Consumer behaviour: utility, indifference curves, consumer equilibrium.
Governmental policies of price intervention
Learning outcomes: the student knows the variables affecting price definition in competition markets. He/she can understand the meaning of the changes in supply and demand curves, he/she is also able to explain and apply the competences developed.

4. How to produce (total didactic unit: 16 hours)
Definition of production
Direct and indirect factors of production
Production theories
The function of production with one or more factors.
Pareto efficiency
Fixed-coefficient production function
Georgescu theory
Production cost, total costs, fixed and variable costs.
Depreciation and incomes
Analysis and classification of production costs
Short-term cost curves
Total unit cost and marginal cost
The production volume
Long-temr cost curves
Marginal, intra-marginal and extra-marginal enterprise
Markets theory: market classification and perfect competition, monopoly and other types of markets.
Learning outcomes: the student knows the different theoretical approaches to the production process and he/she can identify features of the agricultural sectors, also in order to solve management problems in competitive farms. He/she can explain the production cost and its elements. He/she can understand agricultural markets' dynamics.
 
5. To produce for whom (total didactic unit: 14 hours)
Income distribution: demand and supply of capital factors of production: land, capital and labour.
Real economic systems: state aid and economic planning.
Money, use price of capital and bank system.
International trade and production specialisation.
Learning outcomes: the student knows the principles of the relation between demand and supply of production factors and means. He/she can has the basic know-how for the future specialised subjects and academic courses.

Readings/Bibliography

• R. G. Lipsey, "Introduzione all'economia"
• P. A. Samuelson, "Economia"
• S. Fischer, R. Dornbusch, "Economia"
• A. Asimakopulos, "Microeconomia"
• E. Di Cocco, "Principi di economia politica"
• N. Georgescu-Roegen, "Energia e miti economici"
• J. Attali, "La crisi, e poi?"

The bibliography includes topics delat with during the lectures and that the student can further focus on. 

Teaching methods

Beside lectures, case studies will be presented and discussed according to hints coming from scientific press and lastest news. Oral test will be held along the course. Reading suggestions on political economics and economic policies will be given in order to raise students' interest.

Assessment methods

The final assessment consists of an oral test. Ongoing tests will be held regularly and/or on voluntary basis according to a timing agreed with students or when they need clarifications and in-depth analysis.

Teaching tools

Traditional teaching tools are used, such as PC, video-projector and blackboard.

Office hours

See the website of Luigi Vannini