Agricultural Economics I and Extension Education June-July 2013 Past Question Paper

Agricultural Economics I and Extension Education June-July 2013 Past Question Paper – KNEC Diploma

This Past Paper examination was examined by the Kenya National Examination Council (KNEC) and it applies to the following courses

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AGRICULTURAL ECONOMICS I
AND EXTENSION EDUCATION
June. July 2013
Time: 3 hours

THE KENYA NATIONAL EXAMINATIONS COUNCIL

DIPLOMA IN AGRICULTURE

MODULE I

AGRICULTURAL ECONOMICS I AND EXTENSION EDUCATION

3 hours

INSTRUCTIONS TO CANDIDATES
You should have a scientific calculator for this examination.
This paper consists of TWO sections; A and B.
Answer a total of FIVE questions; taking at least TWO questions from section A and at least TWO questions from section B in the spaces provided.
All questions carry equal marks.
Maximum marks for each part of a question are as shown.
Do NOT remove any pages from this booklet.
Candidates should answer the questions in English.

This paper consists of 20 printed pages.
Candidates should check the question paper to ascertain that all
The pages are printed as indicated and that no questions are missing.

SECTION A:
AGRICULTURAL ECONOMICS I
Answer at least TWO questions from this section in the spaces provided.

1. (a) The price of a commodity Y is Ksh 40 per unit and demand for this commodity is 20 units. The price rises from Ksh. 40 to Ksh. 50 per unit and demand decreases to 15.
Calculate the elasticity of demand. (5 marks)
(b) Describe the determinants of price elasticity of demand. (10 marks)
(c) Describe the characteristics of mixed/dual economy. (5 marks)

2. (a) The figure below illustrates the relationship between price and quantity.

(i) Identify the curve labeled X1;
(ii) Describe the curve X1;
(iii) Discuss the factors that will shift the curve from X1 to X2. (12 marks)
(b) Describe the following types of demand:
(i) Perfectly inelastic;
(ii) Inelastic;
(iii) Unit elastic;
(iv) Perfect elastic. (8 marks)

3. (a) Highlight characteristic features of land. (5 marks)
(b) Explain the factors that affect the value of land. (8 marks)
(c) Highlight the factors affecting productivity of labour. (7 marks)
4. (a) Study the information provided in the table 1 below and answer the questions that follow.

Table 1
Input (x) 0 10 20 30 40 50 60 70 80 90
Output (y) 0 40 100 150 180 220 240 250 250 240

(i) Calculate MPP and APP;
(ii) Plot a production function curve;
(iii) Explain the shape of the curve obtained in 4 (a) (ii). (11 marks)

(b) Table II represents quantities of total fixed cost and total variable costs of a given farm.

Table II
Quantity 0 1 2 3 4 5
Total fixed cost 40 40 40 40 40 40
Total variable cost 0 30 45 80 100 120

Assuming a price of Ksh 50, calculate the total costs, total revenues and profits at each
level of production. (9 marks)

SECTION B:
AGRICULTURAL EXTENSION
Answer at least TWO questions from this section in the spaces provided.

5. (a) Explain causes of cultural changes in rural and urban societies. (10 marks)
(b) Describe five social institutions that are involved in rural development. (10 marks)

6. (a) Describe characteristic features of the following:
(i) Primary groups;
(ii) Formal groups. (12 marks)
(b) Describe the ways of getting a leader in a group. (8 marks)

7. Discuss ten features that distinguish formal education from agricultural extension education. (20 marks)

8. (a) Discuss the train and visit extension approach. (10 marks)
(b) Discuss the principles of agricultural extension. (10 marks)



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