Internal Assessment Resource Economics Level 3 !his resource su%%orts assessment a&ainst' Achievement Standard 91401 (emonstrate understandin& of micro)economic conce%ts Resource title: Micro-economics and dairy * credits !his resource' "larifies the re+uirements of the standard Su%%orts &ood assessment %ractice Should ,e su,-ected to the school.s usual assessment +ualit/ assurance %rocess Should ,e modified to ma0e the conte1t relevant to students in their school environment and ensure that su,mitted evidence is authentic (ate version %u,lished ,/ 2inistr/ of Education (ecem,er 3013 !o su%%ort internal assessment from 3013 4ualit/ assurance status !hese materials have ,een +ualit/ assured ,/ 564A. 564A A%%roved num,er A)A)13)3013)91401)01)708* Authenticit/ of evidence !eachers must mana&e authenticit/ for an/ assessment from a %u,lic source9 ,ecause students ma/ have access to the assessment schedule or student e1em%lar material. $sin& this assessment resource :ithout modification ma/ mean that students. :or0 is not authentic. !he teacher ma/ need to chan&e fi&ures9 measurements or data sources or set a different conte1t or to%ic to ,e investi&ated or a different te1t to read or %erform. Internal Assessment Resource !his resource is co%/ri&ht ; "ro:n 3013 Pa&e 1 of 7 564A A%%roved Internal assessment resource Economics 3.3A for Achievement Standard 91401 PAGE FO !EA"#E $SE Achievement Standard Economics 91401: (emonstrate understandin& of micro)economic conce%ts Resource reerence: Economics 3.3A Resource title: 2icro)economics and dair/ !redits: * "eacher #uidelines !he follo:in& &uidelines are su%%lied to ena,le teachers to carr/ out valid and consistent assessment usin& this internal assessment resource. !eachers need to ,e ver/ familiar :ith the outcome ,ein& assessed ,/ Achievement Standard Economics 91401. !he achievement criteria and the e1%lanator/ notes contain information9 definitions9 and re+uirements that are crucial :hen inter%retin& the standard and assessin& students a&ainst it. !onte$t%settin# !he tas0 re+uires students to %re%are a re%ort on different as%ects of the dair/ industr/. !onditions <ou :ill need to determine ho: lon& students need to com%lete each tas0 and :hat %rocesses the/ :ill follo:. !hese :ill need to ,e clearl/ outlined in the student instructions follo:in&. Resource re&uirements Internet access. Additional inormation 5one. !his resource is co%/ri&ht ; "ro:n 3013 Pa&e 3 of 7 Internal assessment resource Economics 3.3A for Achievement Standard 91401 PAGE FO S!$(E5! $SE Internal Assessment Resource Achievement Standard Economics 91401: (emonstrate understandin& of micro)economic conce%ts Resource reerence: Economics 3.3A Resource title: 2icroeconomics and the dair/ industr/ !redits: * Achievement Achievement 'ith Merit Achievement 'ith E$cellence (emonstrate understandin& of micro)economic conce%ts. (emonstrate in)de%th understandin& of micro) economic conce%ts. (emonstrate com%rehensive understandin& of micro) economic conce%ts. Student instructions Introduction !his assessment activit/ re+uires /ou to :rite a re%ort on t:o different as%ects of the dair/ mar0et ,oom9 incor%oratin& micro)economic conce%ts. <ou :ill ,e assessed on the e1tent to :hich /ou identif/ the im%lications of the dair/ mar0et ,oom on consumers9 %roducers9 and=or the &overnment9 and on /our a,ilit/ to use models9 and data or other information9 to su%%ort /our e1%lanations. <ou have four :ee0s of in)class and out)of)class time in :hich to individuall/ com%lete /our re%ort. As the dair/ industr/ is vital to !arana0i9 :e :ill loo0 at mar&inal utilit/ and demand9 diminishin& returns and su%%l/9 elasticit/ of demand9 elasticit/ of su%%l/9 mar0et structures >Fonterra as a 2ono%son/9 Pro&ressive Enter%rises and Foodstuffs as an oli&o%ol/?9 and role of %rices and %rofits in determinin& resource allocation usin& the dair/ industr/. "as( I :ill &rade /our ,est scores as%ects of the microeconomics of the dair/ industr/ from the follo:in& list' im%act of mar&inal utilit/ and demand im%act of diminishin& returns and su%%l/ im%act of %rices and incomes on the elasticit/ of demand im%act of time on elasticit/ of su%%l/ mil0 mar0et structure >mono%son/ and oli&o%ol/ retail? and methods of com%etition used im%act of %rices and %rofits in determinin& resource allocation usin& the dair/ industr/. An e1cellence in each of the %ortfolio tas0s is :orth * %oints >li0e senior %ri@e)&ivin&A?9 a merit is three %oints9 and an achieved one !his resource is co%/ri&ht ; "ro:n 3013 Pa&e 3 of 7 Internal assessment resource Economics 3.3A for Achievement Standard 91401 PAGE FO S!$(E5! $SE %oint. A total score of )0 %oints or over is E$cellence9 11 to 19 is Merit9 and 4 to 10 is Achieved. 5ote that a student :ho &ains five merits and one e1cellence >*13 B 11*? is e1cellent9 -ust as a student :ith * e1cellence &rades. An e1cellence and t:o merits >11* B 313? is merit ,ut students must ma0e an attem%t at four or more tas0s. In the case of four %oints for the ,ottom of an achieved9 I e1%ect a valid attem%t to ,e made in all si1 tas0s. Identif/ a different micro)economic conce%t for each as%ect. For each to%ic9 :e :ill have to e1%lain and use an economic model. For merit the li0el/ im%lications for consumers9 %roducers9 and=or the &overnment of the model is essential. For e1cellence /ou ma/ have to investi&ate as%ects of the theor/ in real life. . !his resource is co%/ri&ht ; "ro:n 3013 Pa&e 4 of 7 Internal assessment resource Economics 3.3A for Achievement Standard 91401 PAGE FO !EA"#E $SE Assessment schedule: Economics 91401 *airy +oom Evidence%,ud#ements or Achievement Evidence%,ud#ements or Achievement 'ith Merit Evidence%,ud#ements or Achievement 'ith E$cellence !he student has demonstrated understandin& of micro)economic conce%ts. !he student has su,mitted a re%ort on t:o different micro)economic conce%ts that relate to t:o as%ects of the dair/ mar0et ,oom. In the re%ort the student has' %rovided an e1%lanation of t:o micro)economic conce%ts usin& an a%%ro%riate economic model>s? %rocessed and=or %resented data or information to su%%ort the economic anal/sis. E1am%le of %ossi,le student res%onse' One aspect of the dairy boom is the impact of high dairy prices on the sheep farming industry. The economic concept I am exploring is the role of prices and profits in determining resource allocation >e1%lained usin& the PPF model?. A rush of dairy property transactions in December has helped lift the median farm sale price to the highest level of the year in the latest Real Estate Institute of Ne !ealand "REIN!# rural mar$et statistics. %urchases of gra&ing and dairy support bloc$s ere loer than last year' but %eter (cDonald expects buyer interest to improve as a conse)uence of the upsing in the mar$et for dairy farms. http*++.scoop.co.n&+stories+,-../.+0//123+d ecember4dairy4farm4sales4revive4rural4property4 !he student has demonstrated in)de%th understandin& of micro)economic conce%ts. !he student has su,mitted a re%ort on t:o different micro)economic conce%ts that relate to t:o as%ects of the dair/ mar0et ,oom. In the re%ort the student has' %rovided detailed e1%lanations of t:o micro) economic conce%ts usin& an a%%ro%riate economic model>s? used data or information that su%%orts the economic anal/sis. E1am%le of %ossi,le student res%onse' One aspect of the dairy boom is the impact of high dairy prices on the sheep farming industry. The economic concept I am exploring is the role of prices and profits in determining resource allocation >e1%lained in detail9 su%%orted :ith the PPF model and demand and su%%l/ model for the mar0et for lam, meat?. A rush of dairy property transactions in December has helped lift the median farm sale price to the highest level of the year in the latest Real Estate Institute of Ne !ealand "REIN!# rural mar$et statistics. %urchases of gra&ing and dairy support bloc$s ere loer than last year' but %eter (cDonald expects buyer interest to improve as a conse)uence of the upsing in the mar$et for dairy farms. !he student has demonstrated com%rehensive understandin& of micro)economic conce%ts. !he student has su,mitted a re%ort on t:o different micro)economic conce%ts that relate to t:o as%ects of the dair/ mar0et ,oom. In the re%ort the student has also' %rovided a detailed e1%lanation9 su%%orted ,/ models and data and=or information that -ustif/ the identified im%lications for consumers9 %roducers and=or &overnment. E1am%le of %ossi,le student res%onse' One aspect of the dairy boom is the impact of high dairy prices on the sheep farming industry. The economic concept I am exploring is the role of prices and profits in determining resource allocation >e1%lained in detail9 su%%orted :ith the PPF model and demand and su%%l/ model for the mar0et for lam, meat?. 5or sheep farmers' the cost of farmland and other resources that are common ill increase' resulting in decreased profits' so supply ill decrease. An implication for the consumer is li$ely to be higher prices for lamb as ell as dairy products because the land and resources ill be sitched aay from sheep farming' resulting in a reduction in supply and an increase in prices. 5or example' lamb prices in 6an 1/./ ere 7.1 c+$g and rose to 829 c+$g to April 1/... .interest.co.n& !his resource is co%/ri&ht ; "ro:n 3013 Pa&e * of 7 Internal assessment resource Economics 3.3A for Achievement Standard 91401 PAGE FO !EA"#E $SE mar$et.htm This data shos that dairy farming is experiencing a boom. This is li$ely to result in a shift of resources from sheep farming to dairy farming. The examples above relate to only part of hat is re)uired' and are :ust indicative. http*++.scoop.co.n&+stories+,-../.+0//123+d ecember4dairy4farm4sales4revive4rural4property4 mar$et.htm This data shos that as dairy farming is experiencing a boom' gra&ing land that ould have been suitable for sheep farming ill be purchased and converted for use as dairy farms. The examples above relate to only part of hat is re)uired' and are :ust indicative.
5arm expense index rose from /..1.2 in Dec 1//9 to ..3;; to Dec 1/./. .interest.co.n& A rush of dairy property transactions in December has helped to lift the median farm sale price to the highest level of the year in the latest Real Estate Institute of Ne !ealand "REIN!# rural mar$et statistics released today. %urchases of gra&ing and dairy support bloc$s ere loer than last year' but %eter (cDonald expects buyer interest to improve as a conse)uence of the upsing in the mar$et for dairy farms. http*++.scoop.co.n&+stories+,-../.+0//123+de cember4dairy4farm4sales4revive4rural4property4 mar$et.htm This data shos that as dairy farming is experiencing a boom' gra&ing land that ould have been suitable for sheep farming ill be purchased and converted for use as dairy farms. This shifts the overall price of farmland upards as reported. Also the farm cost index has shon an increase. The impact of this on production costs for sheep ill be higher prices of lamb' as shon by the lamb prices rising from 7.1 to 829 c+$g. In conclusion' using the %%5 and demand and supply models the implications for consumers and producers are li$ely to be < The data above clearly supports this since < The examples above relate to only part of hat is re)uired' and are :ust indicative. Final &rades :ill ,e decided usin& %rofessional -ud&ement ,ased on a holistic e1amination of the evidence %rovided a&ainst the criteria in the Achievement Standard. !his resource is co%/ri&ht ; "ro:n 3013 Pa&e 7 of 7