Assignment #5 (The graph is in the attached document to view)
1. Explain the following terms: subsistence farming, shifting cultivation, Latifundios and minifundios.
2. How would you define ‘land Gini’? Explain why land Gini is so much higher in Latin America, compared to Asia.
3. Distinguish between a tenant farmer and a sharecropper. Whose exposure to risk is greater and why?
4. The graph, drawn above, shows the average product of labor and the marginal product of labor applied on a fixed resource, like land. Explain why the resource is overused (Lc labor units are applied on the resource), if it is a common property but it is properly used (L* labor units are applied on the resource), if it is privately owned.