1.1 What are the four economic features that are determined by the prices of agricultural commodities? [4] 1.2 Briefly discuss any two trends that exist in agricultural prices. [6] 1.3 Distinguish with agricultural examples, the difference between price determination and price discovery. [4] 1.4 Farm products consist of five systems for price discovery, state and explain any two (2) systems of price discovery that you know. Further, explain which one is common in livestock farming. [8] 1.5 What are the problems that are encountered when calculating marketing margins? [3] QUESTION 2 [25 MARKS] 2.1 Write short notes on the importance of marketing information systems. [4] 2.2 Discuss the reasons why the food marketing bill increases over time and rises faster than the increase in farm prices. [5] 2.3 Using specific examples from South Africa, describe specialisation and explain why farmers specialise. [6] 2.4 From an agricultural perspective identify and explain the risks encountered by participants in agricultural marketing and how those risks can be minimized. [10]