ABM Exam – Flashcard

question
Firms that provide inputs to the farmers.
answer
Aggie Input Suppliers Ex) Monsanto
question
Firms who produce RAW food and Aggie commodities
answer
Producers Ex) Iowa Corn Farmer
question
Firms who buy RAW COMMODITIES from producers
answer
Assemblers Ex) Archer Daniels Midland (ADM) Bunge
question
Firms who buy raw Aggie commodities and PROCESSES THEM INTO FOOD INGREDIENTS
answer
Initial Processors Ex) ADM Bunge *Cargill***
question
Manufacturer that buys ingredients and manufactures them into food products
answer
Food Manufacturer Ex) Kellogg's Coca-Cola
question
Firm engaged in distributing food products
answer
Wholesalers TWO TYPES 1. Institutional Ex) GFS 2. Grocery Ex) SpartanNash
question
Firms from whom consumers buy food
answer
Retailers Ex) Kroger Meijer's
question
People who eat food
answer
Consumers Ex) Me
question
Time Value Added
answer
Value that allows production & consumption at different times ( by storage )
question
Place Value Added
answer
Value by transportation to the location of the next player
question
Form Value Added
answer
Changing the form of the product
question
Possession Value Added
answer
Value by facilitating exchange between buyers and sellers
question
Food Bill
answer
Value of all total food & alcohol Trend: Increasing
question
Food Dollar
answer
Total annual market value for all purchases of DOMESTICALLY produced food (Two types: value by Aggie input supplier & value by farmer (farm share))
question
Food dollar is Value Added ____ the domestic farm gate
answer
After
question
Food Marketing Bill
answer
Total dollar expenditures going to Aggie & food marketing firms to pay for all marketing PAST THE DOMESTIC FARMGATE Trend: Increasing
question
Most food products go through ___ changes of possessions
answer
5-7
question
On average, how far does food travel?
answer
1000 miles
question
What are the types of Value Added? What are they each?
answer
Time - value by storage Form - value by changing Place - value by transportation Possession - value by facilitating exchange
question
What is the food bill?
answer
Value of all total food and alcohol expenditures in a given year
question
What is the trend of the food bill and what is its most recent number?
answer
INCREASING $ 1.6T
question
The average American spent how much in the food bill?
answer
$5,000 including alcohol, 4,500 without
question
What is the food Dollar?
answer
Total annual market value for all purchases of DOMESTICALLY produced food.
question
What is the food Dollar split into?
answer
Farm share - Value by farmer and Aggie input supplier Food marketing bill - Value Added by firms after the domestic farm gate
question
What is the food marketing bill? It's trend?
answer
Total dollar expenditures going to Aggie and food marketing firms to pay for all marketing past the domestic farmgate. INCREASING
question
Since 1995 the farm share has been about what percent? New numbers estimate it at what????
answer
20%, NOW 15-20%
question
What is the farm share for food consumed away from home? Why?
answer
5%. Marketing share has been increasing a lot faster than farm share.
question
What costs go into the FMB?
answer
Labor Packaging Transportation Energy
question
What is the average distance food travels?
answer
1000 miles
question
More processed food do what to the farm share?
answer
Decrease it
question
Seasonality costs do what to the farm share?
answer
Decrease it
question
Transportation costs do what to the farm share?
answer
Decrease it
question
Bulky perishable items have what kind of farm share?
answer
Large
question
Food Dollar Expenditures
answer
Total annual market value for all purchases of DOMESTICALLY PRODUCED GOODS
question
Food consumption SHARE trends have been _____ but have been relatively _____ since 2000
answer
Declining but relatively stable since 2000
question
What is the trend for how much we spend on food?
answer
Upwards trend $1.63T
question
What are the reasons of why we spend more on food?
answer
Population increase -- High food prices due to labor and energy -- Preferences of new food products and marketing services
question
The average American eats how many calories per day?
answer
3500
question
Swing in the farm price lead to small impacts on food price. Why?
answer
The long chain is not affected by a small link.
question
What is the trend in food preferences
answer
More processing More marketing 1/2 of food away from home 1/3 consumed away from home = Value Added trend
question
Food expenditures from population growth "mature" market means what?
answer
More mature consumers, Rising income, And more diversity.
question
Will catering to the baby-boomer generation change the US spending on food? Why?
answer
YES because upgrades in diets and reduction in the percentage spent on food
question
What are functional foods
answer
Foods to provide medical benefits beyond traditional nutritional benefits ex) Vitamin D Milk
question
Milk has been trending way ____ While cheese has been trending way ____
answer
Down Up
question
Name the top 5 countries in soil available for food production
answer
1. 🇺🇸 2. 🇮🇳 3. 🇷🇺 4. 🇨🇳 5. 🇧🇷
question
Name the impacts of geographical factors
answer
-Increases place value - production, processors concentrated in production region -wholesalers concentrated in consumption region
question
Name the impacts of biological factors
answer
-Production Lags: the length of time which the decision to produce occurs until the production reaches the market: chicken 5-7 days, nuts 5-7 years -perishable -quality variation -risks
question
Name the impacts of biological factors
answer
Decisions must be made on expected prices and expected yields
question
Geological factors increase what type of value added?
answer
Place
question
Biological factors increase what type of value added?
answer
Time value Form value
question
Name the impacts of capital factors
answer
(Requires a high degree of asset specificity) -lag in adjustments -influenced heavily by macroeconomics such as inflation
question
What is the impact that tech provides?
answer
Firms face the constant pressure of continually reducing costs and continually adopting new tech
question
Seasonality of supply
answer
Batch production
question
Seasonality of demand
answer
Tastes and preferences throughout year
question
What do seasonality factors impact?
answer
Storage costs Handling costs
question
What percentage of US land is used for food and fiber production?
answer
50% 20% in crops 25% in rangeland 5% other
question
What are the impacts of increased productivity?
answer
-Changes in farm structure -Increases specialization -increased globalization -tighter coordination -increased concentration
question
What percent of farms are family owned?
answer
97-98%
question
Large scale farms make more than $1B dollars. True or False?
answer
False. They make more than 1 million... not billion.
question
What percentage of farms are made up by small farms?
answer
90%
question
Small farms own more than ____ of all farm assets (ex. Buildings)
answer
1/2
question
True or false, small farms make up less than 25% of Aggie output
answer
False. 26%.
question
Mid scale and large scale farms make up what percent of all farms?
answer
8%
question
What percent of total value of production does mid scale and large scale farms make?
answer
60%
question
Non family farms make up almost ___ percent of all farms. They make up ____ percent of the total value of farm production
answer
3% of farms 15% of farm value
question
What is asset specificity?
answer
Assets that can only be used for farm/food production or processing
question
Mid-scale and large scale farms account for what percentage of farm production?
answer
75%
question
What is the current trend in farms?
answer
Increasing size
question
Name the increased impacts in farm structure
answer
Increases Specialiazation - Increased Globalization - Increased Market coordination - Increased concentration
question
What percent of exports are Aggie related in the USA?
answer
10%
question
Nearly what percent of USA agriculture is exported?
answer
nearly 25%
question
The USA is the leader in exports and second in imports. T or F?
answer
False! We are #1 in both.
question
What is the current shift in market coordination
answer
Shifting away from production of commodities towards food products
question
More coordination in the market does what?
answer
Make players more independent
question
What is the difference between market concentration and geographic concentration?
answer
Market: smaller number of firms or players in the industry Geographic: production and allied industry located close to one another
question
The Michigan Automobile industry is an example of what?
answer
Geographic concentration
question
What is the CR4
answer
"4 firm concentration ratio" It is the percentage of industry sales by the 4 largest firms
question
What is a benefit to consumers of having larger players?
answer
Larger players can ship to you for lower prices
question
What is the difference between demand and quantity demanded?
answer
Demand is the quantity buyers will buy at various prices and all possibilities -- Quantity demanded is the quantity demand at a specific price
question
A change in quantity demanded...
answer
Is a movement along the demand curve
question
What can change Quantity and Production?
answer
Substitutes Complements Income Preferences Expectations # of consumers
question
What changes Market supplied?
answer
Price of input supplies Tech changes Bio/Climate changes Expectations # of suppliers
question
An increase in supply moves in what direction?
answer
Right
question
What is the largest portion of the Food Marketing Bill? ⭐
answer
Labor
question
How many times does an object change possession before it reaches the consumer? ⭐
answer
5-7 times
question
What is the largest circle in the food diagram? ⭐
answer
Food Bill
question
What is the line that separates the imports from the rest of the food bill? ⭐
answer
Food Dollar
question
What is the outter layer (not the line but the stuff in between) of the food diagram?⭐
answer
Imports
question
What is the inner circle of the food diagram? ⭐
answer
Food Marketing Bill
question
What is the larger part of the dashed line in the food diagram? ⭐
answer
Services, Supplies, and Inputs
question
What is the smaller part of the dashed line in the food diagram? ⭐
answer
Farm share
question
Fresh Produce and Dairy products are the most common sources for food Bourne illnesses.⭐
answer
True
question
Processors tend to locate their facilities near agricultural production regions ⭐
answer
True
question
The farm share of the food dollar has been less than 16 cents of the dollar since 2000⭐
answer
True
question
Less that 25% of the land in the USA is used to produce food and fiber ⭐
answer
False
question
Both the demand for food products and the supply of food products are relatively stable throughout the year ⭐
answer
False
question
Over the next twenty years dairy products are projected to have a decrease in per capita consumption⭐
answer
True
question
There is an increasing trend in real retail food prices ⭐
answer
True
question
Increasing incomes are leading to more emphasis placed on product price and less emphasis placed on food quality attributes ⭐
answer
False
question
Approximately 1 outta 2 meals is consumed away from home ⭐
answer
False. 1/2 of food expenditures areaway from home but notconsumed away from home.
question
The US food market is a mature market which means that growth in the food market will come from older Americans eating more food.⭐
answer
False
question
There is little quality variation in fruits and vegetables.⭐
answer
False
question
Commodity prices at the farm level are the most important factor in determining consumer food prices and choices ⭐
answer
False
question
The share of US income that US consumers spend on food has been decreasing ⭐
answer
True
question
Due to biological nature of food production, Aggie firms are able to quickly contract in order to adjust to price signals in the market ⭐
answer
False
question
Increased importance will be placed on functional foods ⭐
answer
True
question
Agricultural producers are quickly able to adjust to market price signals ⭐
answer
False
question
Since 2000, the share of income spent on food has been rapidly decreasing ⭐
answer
False
question
If the farm share of the food dollar is decreasing then farming is becoming less profitable. ⭐
answer
FALSE
question
Institutional Wholesalers typically do NOT sell to food service retailers⭐
answer
FALSE
question
There is an increasing trend in both the food bill and the food marketing bill ⭐
answer
True
question
Approximately 50% of all jobs in the USA are related to some aspect of the agri-food system ⭐
answer
False
question
The farm share of the food dollar has been decreasing over time ⭐
answer
True
question
If the price of milk doubles, then the proce of ice cream doubles ⭐
answer
False
question
Value Added = price sold - cost to enhance ⭐
answer
True
question
Sams club is an example of an institutional Wholesaler. ⭐
answer
False
question
The average food product travels approximately ____ - _____ miles before reaching the consumer. ⭐
answer
1200-1500
question
Selling Syngenta's corn seed to a corn farmer is an example of what player? ⭐
answer
Aggie input supplier
question
Which value Added is performed when a company transporting wheat from the elevator moves it to the manufacturer for milling? ⭐
answer
Place
question
Wholesalers and assemblers merging is a current trend in agribusiness. ⭐
answer
False
question
Increasing domestic population is the best reason for an increasing trend in the food marketing bill ⭐
answer
True
question
A commodity processor would likely sell a product like cocoa powder ⭐
answer
True
question
What portion of the food dollar is considered farm share?⭐
answer
15-20%
question
JBS is an example of what player?⭐
answer
Initial provessor
question
An apple processing plant takes apples, turns them into juice, and transports them in their own trucks. What types of value Added are added in this situation? ⭐
answer
Form and Place
question
A firm whose primary business is to buy small and sell large without changing the form of the possession is what kind of player?⭐
answer
An assembler
question
Wholesalers distribute food to retailers in ____
answer
Bulk
question
Aggie input suppliers provide seeds and ____ to farmers
answer
Inputs
question
Meijer's is a what? (What kind of retailer?)
answer
Food service retailer
question
Farmers account for what percent of the USA population?
answer
<2%
question
A modern supermarket typically has how many UPCs on its shelves
answer
40,000
question
Michigan is not #1 in what area? Blueberries Milk Cucumbers Black beans Cherries
answer
Milk
question
In terms of Aggie diversity Michigan ranks what?
answer
#2
question
What share of of the food dollar do farmers earn (in cents?)
answer
6-8 cents
question
The food and fiber marketing system accounts for what percent of the US labor force?
answer
20-25%
question
In Michigan, which commodity accounts for the highest cash receipts? Soybeans Milk Need Corn
answer
Milk
question
The top USA chain restaurant, based on value of sales is
answer
McDonald's
question
What industry is the largest user of sugar in the USA?
answer
Cereal
question
Nearly 90% of US breakfast cereal is produced by the 4 largest food manufacturers
answer
True
question
About 160,000 farms in the USA produce most of the food we eat.
answer
True
question
Coke outsells Pepsi but makes less total money than pepsi
answer
True
question
Brazil has the world's largest ethanol industry
answer
True
question
If the price of milk doubles then the price of ice cream doubles
answer
False
question
Nearly 1/3 of food produced for human consumption is wasted
answer
True
question
Farms are shifting away from production of homogenous commodities towards production of commodities with specific end use attributes ⭐
answer
True
question
If ice cream and popsicles are substitutes, one would expect a decrease in the price of ice cream would cause the demand of popsicles to increase ⭐
answer
False
question
A potential benefit to consumers of market concentration in the agri food system is that latger firms may be able to exercise market power ⭐
answer
False
question
Japan has typically been in the top four export destinations for USA Aggie and food exports ⭐
answer
False, they're #5
question
Most farms in the USA are non-family farms ⭐
answer
False
question
In the 20th century, labor was the primary driver of increased Aggie productivity at the farm level ⭐
answer
False
question
The clustering of fruit production and processing in the Traverse Bay Area is an example of market concentration ⭐
answer
FALSE, geographic concentration
question
If a surplus exists in the market, then there is downward pressure on price ⭐
answer
True
question
Would a shift in the supply of milk be caused by a change in the price of hay used to feed cows? ⭐
answer
Yasss
question
The USA has a negative Aggie trade ⭐
answer
False
question
Geographic concentration which leads to increased efficiencies in the market channel is considered an impact in increased what?⭐
answer
Tech
question
If corn is an input for chicken production, and its price dropped, how would dat effect da chicken market?⭐
answer
Da supply curve shifts dog, decreasin price and increasin quantity traded in da market
question
Small scale farms account for less than 25% of all farms assets ⭐
answer
False, 50%
question
If a new production of technology reduces tge cost of producing sugar beets, the supply curve for sugar beets will likely decrease ⭐
answer
False
question
If Tyson owned 1/3 of the sows in the USA then what would be one benefit for the consumer? ⭐
answer
It decreases costs per unit of production and processing
question
Keep studying
answer
Gotta keep studying
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question
Firms that provide inputs to the farmers.
answer
Aggie Input Suppliers Ex) Monsanto
question
Firms who produce RAW food and Aggie commodities
answer
Producers Ex) Iowa Corn Farmer
question
Firms who buy RAW COMMODITIES from producers
answer
Assemblers Ex) Archer Daniels Midland (ADM) Bunge
question
Firms who buy raw Aggie commodities and PROCESSES THEM INTO FOOD INGREDIENTS
answer
Initial Processors Ex) ADM Bunge *Cargill***
question
Manufacturer that buys ingredients and manufactures them into food products
answer
Food Manufacturer Ex) Kellogg's Coca-Cola
question
Firm engaged in distributing food products
answer
Wholesalers TWO TYPES 1. Institutional Ex) GFS 2. Grocery Ex) SpartanNash
question
Firms from whom consumers buy food
answer
Retailers Ex) Kroger Meijer's
question
People who eat food
answer
Consumers Ex) Me
question
Time Value Added
answer
Value that allows production & consumption at different times ( by storage )
question
Place Value Added
answer
Value by transportation to the location of the next player
question
Form Value Added
answer
Changing the form of the product
question
Possession Value Added
answer
Value by facilitating exchange between buyers and sellers
question
Food Bill
answer
Value of all total food & alcohol Trend: Increasing
question
Food Dollar
answer
Total annual market value for all purchases of DOMESTICALLY produced food (Two types: value by Aggie input supplier & value by farmer (farm share))
question
Food dollar is Value Added ____ the domestic farm gate
answer
After
question
Food Marketing Bill
answer
Total dollar expenditures going to Aggie & food marketing firms to pay for all marketing PAST THE DOMESTIC FARMGATE Trend: Increasing
question
Most food products go through ___ changes of possessions
answer
5-7
question
On average, how far does food travel?
answer
1000 miles
question
What are the types of Value Added? What are they each?
answer
Time - value by storage Form - value by changing Place - value by transportation Possession - value by facilitating exchange
question
What is the food bill?
answer
Value of all total food and alcohol expenditures in a given year
question
What is the trend of the food bill and what is its most recent number?
answer
INCREASING $ 1.6T
question
The average American spent how much in the food bill?
answer
$5,000 including alcohol, 4,500 without
question
What is the food Dollar?
answer
Total annual market value for all purchases of DOMESTICALLY produced food.
question
What is the food Dollar split into?
answer
Farm share - Value by farmer and Aggie input supplier Food marketing bill - Value Added by firms after the domestic farm gate
question
What is the food marketing bill? It's trend?
answer
Total dollar expenditures going to Aggie and food marketing firms to pay for all marketing past the domestic farmgate. INCREASING
question
Since 1995 the farm share has been about what percent? New numbers estimate it at what????
answer
20%, NOW 15-20%
question
What is the farm share for food consumed away from home? Why?
answer
5%. Marketing share has been increasing a lot faster than farm share.
question
What costs go into the FMB?
answer
Labor Packaging Transportation Energy
question
What is the average distance food travels?
answer
1000 miles
question
More processed food do what to the farm share?
answer
Decrease it
question
Seasonality costs do what to the farm share?
answer
Decrease it
question
Transportation costs do what to the farm share?
answer
Decrease it
question
Bulky perishable items have what kind of farm share?
answer
Large
question
Food Dollar Expenditures
answer
Total annual market value for all purchases of DOMESTICALLY PRODUCED GOODS
question
Food consumption SHARE trends have been _____ but have been relatively _____ since 2000
answer
Declining but relatively stable since 2000
question
What is the trend for how much we spend on food?
answer
Upwards trend $1.63T
question
What are the reasons of why we spend more on food?
answer
Population increase -- High food prices due to labor and energy -- Preferences of new food products and marketing services
question
The average American eats how many calories per day?
answer
3500
question
Swing in the farm price lead to small impacts on food price. Why?
answer
The long chain is not affected by a small link.
question
What is the trend in food preferences
answer
More processing More marketing 1/2 of food away from home 1/3 consumed away from home = Value Added trend
question
Food expenditures from population growth "mature" market means what?
answer
More mature consumers, Rising income, And more diversity.
question
Will catering to the baby-boomer generation change the US spending on food? Why?
answer
YES because upgrades in diets and reduction in the percentage spent on food
question
What are functional foods
answer
Foods to provide medical benefits beyond traditional nutritional benefits ex) Vitamin D Milk
question
Milk has been trending way ____ While cheese has been trending way ____
answer
Down Up
question
Name the top 5 countries in soil available for food production
answer
1. 🇺🇸 2. 🇮🇳 3. 🇷🇺 4. 🇨🇳 5. 🇧🇷
question
Name the impacts of geographical factors
answer
-Increases place value - production, processors concentrated in production region -wholesalers concentrated in consumption region
question
Name the impacts of biological factors
answer
-Production Lags: the length of time which the decision to produce occurs until the production reaches the market: chicken 5-7 days, nuts 5-7 years -perishable -quality variation -risks
question
Name the impacts of biological factors
answer
Decisions must be made on expected prices and expected yields
question
Geological factors increase what type of value added?
answer
Place
question
Biological factors increase what type of value added?
answer
Time value Form value
question
Name the impacts of capital factors
answer
(Requires a high degree of asset specificity) -lag in adjustments -influenced heavily by macroeconomics such as inflation
question
What is the impact that tech provides?
answer
Firms face the constant pressure of continually reducing costs and continually adopting new tech
question
Seasonality of supply
answer
Batch production
question
Seasonality of demand
answer
Tastes and preferences throughout year
question
What do seasonality factors impact?
answer
Storage costs Handling costs
question
What percentage of US land is used for food and fiber production?
answer
50% 20% in crops 25% in rangeland 5% other
question
What are the impacts of increased productivity?
answer
-Changes in farm structure -Increases specialization -increased globalization -tighter coordination -increased concentration
question
What percent of farms are family owned?
answer
97-98%
question
Large scale farms make more than $1B dollars. True or False?
answer
False. They make more than 1 million... not billion.
question
What percentage of farms are made up by small farms?
answer
90%
question
Small farms own more than ____ of all farm assets (ex. Buildings)
answer
1/2
question
True or false, small farms make up less than 25% of Aggie output
answer
False. 26%.
question
Mid scale and large scale farms make up what percent of all farms?
answer
8%
question
What percent of total value of production does mid scale and large scale farms make?
answer
60%
question
Non family farms make up almost ___ percent of all farms. They make up ____ percent of the total value of farm production
answer
3% of farms 15% of farm value
question
What is asset specificity?
answer
Assets that can only be used for farm/food production or processing
question
Mid-scale and large scale farms account for what percentage of farm production?
answer
75%
question
What is the current trend in farms?
answer
Increasing size
question
Name the increased impacts in farm structure
answer
Increases Specialiazation - Increased Globalization - Increased Market coordination - Increased concentration
question
What percent of exports are Aggie related in the USA?
answer
10%
question
Nearly what percent of USA agriculture is exported?
answer
nearly 25%
question
The USA is the leader in exports and second in imports. T or F?
answer
False! We are #1 in both.
question
What is the current shift in market coordination
answer
Shifting away from production of commodities towards food products
question
More coordination in the market does what?
answer
Make players more independent
question
What is the difference between market concentration and geographic concentration?
answer
Market: smaller number of firms or players in the industry Geographic: production and allied industry located close to one another
question
The Michigan Automobile industry is an example of what?
answer
Geographic concentration
question
What is the CR4
answer
"4 firm concentration ratio" It is the percentage of industry sales by the 4 largest firms
question
What is a benefit to consumers of having larger players?
answer
Larger players can ship to you for lower prices
question
What is the difference between demand and quantity demanded?
answer
Demand is the quantity buyers will buy at various prices and all possibilities -- Quantity demanded is the quantity demand at a specific price
question
A change in quantity demanded...
answer
Is a movement along the demand curve
question
What can change Quantity and Production?
answer
Substitutes Complements Income Preferences Expectations # of consumers
question
What changes Market supplied?
answer
Price of input supplies Tech changes Bio/Climate changes Expectations # of suppliers
question
An increase in supply moves in what direction?
answer
Right
question
What is the largest portion of the Food Marketing Bill? ⭐
answer
Labor
question
How many times does an object change possession before it reaches the consumer? ⭐
answer
5-7 times
question
What is the largest circle in the food diagram? ⭐
answer
Food Bill
question
What is the line that separates the imports from the rest of the food bill? ⭐
answer
Food Dollar
question
What is the outter layer (not the line but the stuff in between) of the food diagram?⭐
answer
Imports
question
What is the inner circle of the food diagram? ⭐
answer
Food Marketing Bill
question
What is the larger part of the dashed line in the food diagram? ⭐
answer
Services, Supplies, and Inputs
question
What is the smaller part of the dashed line in the food diagram? ⭐
answer
Farm share
question
Fresh Produce and Dairy products are the most common sources for food Bourne illnesses.⭐
answer
True
question
Processors tend to locate their facilities near agricultural production regions ⭐
answer
True
question
The farm share of the food dollar has been less than 16 cents of the dollar since 2000⭐
answer
True
question
Less that 25% of the land in the USA is used to produce food and fiber ⭐
answer
False
question
Both the demand for food products and the supply of food products are relatively stable throughout the year ⭐
answer
False
question
Over the next twenty years dairy products are projected to have a decrease in per capita consumption⭐
answer
True
question
There is an increasing trend in real retail food prices ⭐
answer
True
question
Increasing incomes are leading to more emphasis placed on product price and less emphasis placed on food quality attributes ⭐
answer
False
question
Approximately 1 outta 2 meals is consumed away from home ⭐
answer
False. 1/2 of food expenditures areaway from home but notconsumed away from home.
question
The US food market is a mature market which means that growth in the food market will come from older Americans eating more food.⭐
answer
False
question
There is little quality variation in fruits and vegetables.⭐
answer
False
question
Commodity prices at the farm level are the most important factor in determining consumer food prices and choices ⭐
answer
False
question
The share of US income that US consumers spend on food has been decreasing ⭐
answer
True
question
Due to biological nature of food production, Aggie firms are able to quickly contract in order to adjust to price signals in the market ⭐
answer
False
question
Increased importance will be placed on functional foods ⭐
answer
True
question
Agricultural producers are quickly able to adjust to market price signals ⭐
answer
False
question
Since 2000, the share of income spent on food has been rapidly decreasing ⭐
answer
False
question
If the farm share of the food dollar is decreasing then farming is becoming less profitable. ⭐
answer
FALSE
question
Institutional Wholesalers typically do NOT sell to food service retailers⭐
answer
FALSE
question
There is an increasing trend in both the food bill and the food marketing bill ⭐
answer
True
question
Approximately 50% of all jobs in the USA are related to some aspect of the agri-food system ⭐
answer
False
question
The farm share of the food dollar has been decreasing over time ⭐
answer
True
question
If the price of milk doubles, then the proce of ice cream doubles ⭐
answer
False
question
Value Added = price sold - cost to enhance ⭐
answer
True
question
Sams club is an example of an institutional Wholesaler. ⭐
answer
False
question
The average food product travels approximately ____ - _____ miles before reaching the consumer. ⭐
answer
1200-1500
question
Selling Syngenta's corn seed to a corn farmer is an example of what player? ⭐
answer
Aggie input supplier
question
Which value Added is performed when a company transporting wheat from the elevator moves it to the manufacturer for milling? ⭐
answer
Place
question
Wholesalers and assemblers merging is a current trend in agribusiness. ⭐
answer
False
question
Increasing domestic population is the best reason for an increasing trend in the food marketing bill ⭐
answer
True
question
A commodity processor would likely sell a product like cocoa powder ⭐
answer
True
question
What portion of the food dollar is considered farm share?⭐
answer
15-20%
question
JBS is an example of what player?⭐
answer
Initial provessor
question
An apple processing plant takes apples, turns them into juice, and transports them in their own trucks. What types of value Added are added in this situation? ⭐
answer
Form and Place
question
A firm whose primary business is to buy small and sell large without changing the form of the possession is what kind of player?⭐
answer
An assembler
question
Wholesalers distribute food to retailers in ____
answer
Bulk
question
Aggie input suppliers provide seeds and ____ to farmers
answer
Inputs
question
Meijer's is a what? (What kind of retailer?)
answer
Food service retailer
question
Farmers account for what percent of the USA population?
answer
<2%
question
A modern supermarket typically has how many UPCs on its shelves
answer
40,000
question
Michigan is not #1 in what area? Blueberries Milk Cucumbers Black beans Cherries
answer
Milk
question
In terms of Aggie diversity Michigan ranks what?
answer
#2
question
What share of of the food dollar do farmers earn (in cents?)
answer
6-8 cents
question
The food and fiber marketing system accounts for what percent of the US labor force?
answer
20-25%
question
In Michigan, which commodity accounts for the highest cash receipts? Soybeans Milk Need Corn
answer
Milk
question
The top USA chain restaurant, based on value of sales is
answer
McDonald's
question
What industry is the largest user of sugar in the USA?
answer
Cereal
question
Nearly 90% of US breakfast cereal is produced by the 4 largest food manufacturers
answer
True
question
About 160,000 farms in the USA produce most of the food we eat.
answer
True
question
Coke outsells Pepsi but makes less total money than pepsi
answer
True
question
Brazil has the world's largest ethanol industry
answer
True
question
If the price of milk doubles then the price of ice cream doubles
answer
False
question
Nearly 1/3 of food produced for human consumption is wasted
answer
True
question
Farms are shifting away from production of homogenous commodities towards production of commodities with specific end use attributes ⭐
answer
True
question
If ice cream and popsicles are substitutes, one would expect a decrease in the price of ice cream would cause the demand of popsicles to increase ⭐
answer
False
question
A potential benefit to consumers of market concentration in the agri food system is that latger firms may be able to exercise market power ⭐
answer
False
question
Japan has typically been in the top four export destinations for USA Aggie and food exports ⭐
answer
False, they're #5
question
Most farms in the USA are non-family farms ⭐
answer
False
question
In the 20th century, labor was the primary driver of increased Aggie productivity at the farm level ⭐
answer
False
question
The clustering of fruit production and processing in the Traverse Bay Area is an example of market concentration ⭐
answer
FALSE, geographic concentration
question
If a surplus exists in the market, then there is downward pressure on price ⭐
answer
True
question
Would a shift in the supply of milk be caused by a change in the price of hay used to feed cows? ⭐
answer
Yasss
question
The USA has a negative Aggie trade ⭐
answer
False
question
Geographic concentration which leads to increased efficiencies in the market channel is considered an impact in increased what?⭐
answer
Tech
question
If corn is an input for chicken production, and its price dropped, how would dat effect da chicken market?⭐
answer
Da supply curve shifts dog, decreasin price and increasin quantity traded in da market
question
Small scale farms account for less than 25% of all farms assets ⭐
answer
False, 50%
question
If a new production of technology reduces tge cost of producing sugar beets, the supply curve for sugar beets will likely decrease ⭐
answer
False
question
If Tyson owned 1/3 of the sows in the USA then what would be one benefit for the consumer? ⭐
answer
It decreases costs per unit of production and processing
question
Keep studying
answer
Gotta keep studying
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