Unit AGRO.FOOD ECONOMICS AND RURAL APPRAISAL

AGRO-FOOD ECONOMICS AND RURAL APPRAISAL

Code	80005606
CFU	6
Teacher	Lucia Rocchi
Teachers	Lucia Rocchi
Hours	54 ore - Lucia Rocchi
Learning activities	Caratterizzante
Area	Discipline economiche estimative e giuridiche.
Sector	AGR/01
Type of study-unit	Obbligatorio (Required)
Language of instruction	Italian
Contents	Introduction to Agricultural Economics Introduction to Farm Management Economics The Common Agricultural Policy European Union Quality Standards Introduction to Agricultural Economics and World Trade
Reference texts	Bruni F., Franco S. (2013), Economia dell’impresa e dell’azienda agraria, Il Mulino, Milano. Slides e materials in Unistudium
Educational objectives	The course aims to introduce students to issues relating to farm management. The study of the farm, in particular, is designed to provide students with knowledge of agricultural business management, cost and price analysis, farm profitability, and the economic viability of individual production activities. The course also provides basic knowledge of the objectives and instruments of public intervention in the agri-food sector at EU and national level, as well as food quality policies, taking into account the global context in which the farm is required to operate.
Prerequisites
Teaching methods	Lectures; seminars; group work; field visits
Other information	Attendance is not compulsory, but strongly recommended, as is active participation in class during lectures and practical sessions. The time and place of the lectures are available at the following link: https://dsa3.unipg.it/it/orario-delle-lezioni
Learning verification modality	Written test with open-ended questions and exercises; option to include an oral discussion
Extended program	Farm and agricultural enterprise. The role of the entrepreneur. Legal forms and business risk. Agricultural entrepreneur and farmer. Multifunctional enterprises and diversification (direct sales, contract farming, social farming, bioenergy). Introduction to farm financial statements. Classification of factors of production. Land capital. Agricultural capital: working capital and advance capital. Labor: salaried employment and self-employment. Types of enterprises. Sharecropping and tenant farming. Part-time work. Decentralization. Distribution in Italy. The Italian Agricultural Accounting Network. Structural analysis of agricultural enterprises. Introduction to financial mathematics. Simple interest and compound interest. Annuities. Reinvestment and depreciation. The income statement of the agricultural enterprise. Differences between statutory financial statements and the income statement of the agricultural enterprise. Preparation of an income statement for the agricultural enterprise. Determination of economic results: the income statement equation based on net present value (NPV). Determination of gross marketable production and gross farm profit. Production costs. The differential elements of the income statement. Taxes and business obligations. Taxes, duties, and contributions. Direct taxes: IRPEF, IRES, IRAP, IMU. Indirect taxes: VAT. VAT regimes in agriculture. Tax obligations. Starting an agricultural business. Overview of the farm file and the farm logbook. Cross-compliance. Work safety in agriculture. De minimis in agriculture. Interim financial statements. Analysis of production costs. Direct and indirect (or common) costs. Allocation of common costs. Fixed and variable costs. Crop accounts and production techniques. Production costs in livestock farming. The price-setting process. Break-even point analysis. Common Agricultural Policy. Evolution of the CAP: from coupled support to direct payments. The Rural Development Plan (overview). Quality and organic farming policies. Overview of risk and insurance in agriculture. Credit in agriculture.

RURAL APPRAISAL AND ACCOUNTING

Code	80119106
CFU	6
Teacher	Antonio Boggia
Teachers	Antonio Boggia
Hours	54 ore - Antonio Boggia
Learning activities	Caratterizzante
Area	Discipline economiche estimative e giuridiche.
Sector	AGR/01
Type of study-unit	Obbligatorio (Required)
Language of instruction	Italian
Contents	The Module presents a set of evaluation methods of professional relevance. Firstly, the basic notions of financial calculation necessary for the purposes of evaluations are provided. Then we move on to illustrate the problem of evaluating private goods and services and to present the corresponding evaluation methods. Therefore specific evaluation cases are addressed. Subsequently, the problem of evaluating environmental assets is considered, due to their relevance in the agro-industrial production and consumption processes and in rural economies. The specific methods of evaluation of these goods are therefore presented.
Reference texts	1- MICHIELI M., CIPOLOTTI G., Trattato di Estimo, Edagricole 2018. 2-V. GALLERANI, G.ZANNI, D.VIAGGI, Manuale di Estimo, McGrawHill, 2008 (con casi di studio online) 3- Materials managed by the Teacher
Educational objectives	The objective of the Module is to provide the student with the basic knowledge in terms of: • Methodological principles and tools for evaluation; • Fundamentals for the analysis of private and public investment projects; • Evaluation methods of private and public goods and services; • Basic knowledge of the evaluation of environmental assets. The main skills (ability to apply the acquired knowledge) will be: • to elaborate the economic-financial analysis of a private and public investment project (professional level) • carry out the market evaluation of a rustic fund (professional level) • develop a simple multi-criteria analysis (first level of learning) • draw up a simple environmental impact assessment (first level of learning)
Prerequisites	The student has to pass the examination of Economics (istituzioni di Economia). Moreover, it useful to have fruitfully attended at the lecturing of the first Module Agricultural Economics and Policy (Economia e Politicca Agraria) or, alternatively, it useful to cope with study of the analysis of the economic and financial outcomes of the agricultural enterprise. The following are necessary knowledge to attend effectively at this Module lecturing: a) concepts of production function, supply, demand, price, cost, market equilibrium; b) economic classification of the goods (private, public, common and club goods); c) notion of farm and agricultural enterprise, agricultural productive factors; d) balancesheet of the agricultural enterprise.
Teaching methods	The teaching activity is carried out through lectures (42 hours), individual exercises and in the classroom (total 18 hours) The course is organized in classroom lectures on the topics listed in the program (42 hours) and with exercises in the classroom on the topics covered. The teaching material is made available by the teacher through Unistudium. The exercises cover: Evaluation of private investments in agro-industry and rural activities (6 hours); Multicriteria analysis of environmental goods (6 hours); Environmental impact analysis of environmental goods (6 hours)
Other information	Frequency recommended Venue Classroom of the Department of Agricultural, Food and Environmental Sciences, University of Perugia
Learning verification modality	The examination will be managed through an oral exam of about 20 minutes discussion aimed at verifying the degree of knowledge and of understanding achieved by the student about the methodological contents of the Module. Moreover, the oral test aims at verifying: a) the student’s capability to identify the specific characteristics of the evaluation problems; b) the level of correctness in using the technical language specific of the Module.
Extended program	a-Frontal lectures (42 hours) 1. Financial mathematics, financial calculation and investment evaluation 1.1 Motivation for the use of financial mathematics. Definitions of interest, interest rate, financial transaction, interest rates. 1.2 Simple interest regime: calculation of interest, amount and discount. Compound interest regime: calculation of interest, amount and discount. 1.3 Annuality: definition. Classification of annualities: constants and variables; postponed and anticipated; limited and unlimited. Accumulation problems: final accumulation; initial accumulation, intermediate accumulation. Calculation of the reintegration fee with financial calculation. Mortgage amortization plan. 3. General and rural appraisal (16 hours) 3.1. The problem of evaluation: general characteristics and relevance in agro-industrial production and supply systems. 3.1.2 Definition of appraisal; price and value; characters, moment and purpose of the estimate. 3.1.3 Appraisal postulates and economic aspects of goods. 3.1.4 Appraisal procedures and estimation process. 3.1.5 Appraisal of farm 4. Evaluation of environmental goods (10 hours) 4.1 The problem of the evaluation of environmental goods: general characteristics and relevance in agro-industrial production and supply systems. 4.2 Sustainable development and implications for evaluation 4.3 Environmental assessment procedures 4.4 Classification of evaluation methods. 5. Evaluation of private and public investments (8 hours) Exercises (18 hours) Financial calculation and economic-financial analysis of a private agro-industrial investment project Classroom exercises: Multicriteria analysis (first level of learning); Environmental impact assessment (first level of learning)
Obiettivi Agenda 2030 per lo sviluppo sostenibile	Goal 8 Decent work and economic growth Goal 9 Industry, Innovation and Infrastructure