This is a core course provided for Agribusiness and Applied Economics majors. It builds on the student's knowledge of microeconomic theory by providing an opportunity to employ economic tools in a rigorous analysis of prices in the real world. Occasional problem sets are designed to reinforce the student's understanding of theory and to illustrate applications of analytical techniques, including linear programming and regression. Students work in groups analyzing the price outlook for an agricultural commodity. Groups are responsible for written report and oral presentation.
Students trade cash grain, futures, and options in a weekly simulation exercise.
Two midterms and a final exam.