AGEC 333 Final UPDATED Actual Exam
Questions and CORRECT Answers
1. A price taker is one who has little say over establishing an asking price. - CORRECT
ANSWER✔✔- True
2. storage, transportation, and financing are facilitating functions of marketing. - CORRECT
ANSWER✔✔- False
3. farmers marketing programs are typically not as strong as the procurement programs of
their buyers - CORRECT ANSWER✔✔- True
4. in terms of the market models covered in chapter 2, the fast food restaurant industry is
most like perfect competition. - CORRECT ANSWER✔✔- False
5. micro marketing is more complex for the manager of a firm in perfect competition rather
than in oligopolistic competition - CORRECT ANSWER✔✔- False
6. agri-businesses handling commodities generally engage in less price competition than
those merchandising differentiated products because firms handling commodities aren't able
to do much about fixing prices - CORRECT ANSWER✔✔- False
7. Convenience yield pertains to the storage of commodities, even though the market is not
signaling storage opportunities - CORRECT ANSWER✔✔- True
8. If the price of a farm commodity such as lettuce falls abruptly, you can be confident that
lettuce production costs have fallen - CORRECT ANSWER✔✔- False
9. where as price cycles refers to price patterns within a year, seasonality refers to patterns
that may occur over longer periods - CORRECT ANSWER✔✔- False
10. Engle's Law states that as incomes increase, the proportion spent on food ordinarily
increases - CORRECT ANSWER✔✔- False
, 11. The cause of a change in consumption is always a shift in the demand curve - CORRECT
ANSWER✔✔- False
12. Own-price elasticizes of demand vary between zero and negative infinity - CORRECT
ANSWER✔✔- True
13. grain utilization (direct and indirect) per capita generally rises with per capita incomes -
CORRECT ANSWER✔✔- True
14. In dollar terms, less than one half of US annual ag exports have typically been animal
products - CORRECT ANSWER✔✔- True
15. Asia has been one of the largest markets for US ag exports - CORRECT ANSWER✔✔-
True
16. As a nation favoring free trade, the US imports nearly any ag commodity without
restriction or barriers, but it also subsidize more of its food exports - CORRECT
ANSWER✔✔- False
17. price discovery describes a situation in which all buyers and sellers are price takers or
price negotiators - CORRECT ANSWER✔✔- True
18. Price setting through group negotiation is extremely common, especially with the strong
coops that are currently assist farmers - CORRECT ANSWER✔✔- False
19. most farmers would be indifferent between using forward contract or futures contract -
CORRECT ANSWER✔✔- False
20. Grades are useless unless they conform to differences in demand - CORRECT
ANSWER✔✔- True
Questions and CORRECT Answers
1. A price taker is one who has little say over establishing an asking price. - CORRECT
ANSWER✔✔- True
2. storage, transportation, and financing are facilitating functions of marketing. - CORRECT
ANSWER✔✔- False
3. farmers marketing programs are typically not as strong as the procurement programs of
their buyers - CORRECT ANSWER✔✔- True
4. in terms of the market models covered in chapter 2, the fast food restaurant industry is
most like perfect competition. - CORRECT ANSWER✔✔- False
5. micro marketing is more complex for the manager of a firm in perfect competition rather
than in oligopolistic competition - CORRECT ANSWER✔✔- False
6. agri-businesses handling commodities generally engage in less price competition than
those merchandising differentiated products because firms handling commodities aren't able
to do much about fixing prices - CORRECT ANSWER✔✔- False
7. Convenience yield pertains to the storage of commodities, even though the market is not
signaling storage opportunities - CORRECT ANSWER✔✔- True
8. If the price of a farm commodity such as lettuce falls abruptly, you can be confident that
lettuce production costs have fallen - CORRECT ANSWER✔✔- False
9. where as price cycles refers to price patterns within a year, seasonality refers to patterns
that may occur over longer periods - CORRECT ANSWER✔✔- False
10. Engle's Law states that as incomes increase, the proportion spent on food ordinarily
increases - CORRECT ANSWER✔✔- False
, 11. The cause of a change in consumption is always a shift in the demand curve - CORRECT
ANSWER✔✔- False
12. Own-price elasticizes of demand vary between zero and negative infinity - CORRECT
ANSWER✔✔- True
13. grain utilization (direct and indirect) per capita generally rises with per capita incomes -
CORRECT ANSWER✔✔- True
14. In dollar terms, less than one half of US annual ag exports have typically been animal
products - CORRECT ANSWER✔✔- True
15. Asia has been one of the largest markets for US ag exports - CORRECT ANSWER✔✔-
True
16. As a nation favoring free trade, the US imports nearly any ag commodity without
restriction or barriers, but it also subsidize more of its food exports - CORRECT
ANSWER✔✔- False
17. price discovery describes a situation in which all buyers and sellers are price takers or
price negotiators - CORRECT ANSWER✔✔- True
18. Price setting through group negotiation is extremely common, especially with the strong
coops that are currently assist farmers - CORRECT ANSWER✔✔- False
19. most farmers would be indifferent between using forward contract or futures contract -
CORRECT ANSWER✔✔- False
20. Grades are useless unless they conform to differences in demand - CORRECT
ANSWER✔✔- True
