ABSTRACT
In the fi rst two chapters, we outlined the importance of the agribusiness sector and discussed what it means to be a manager. It is also important to understand that agribusiness fi rms operate within a broader economic environment. To be effective decision-makers, agribusiness managers must understand the economics of the world in which they operate. Economic principles are useful to predict business trends and serve as the basis for many management decisions. The study of economics includes two different areas: macroeconomics and microeconomics.
