1. Consider once again the coffee-tea example, presented in Example 10.9. The following two tables are the same as the one presented in Example 10.9 except that each entry has been divided by 10 (left table) or multiplied by 10 (right table). Table 10.7. Beverage preferences among a group of 100 people (left) and 10,000 people (right). a. Compute the p-value of the observed support count for each table, i.e., for 15 and 1500. What pattern do you observe as the sample size increases? P value for table 1=0.5319 P value for table 2=4.104E-10 We observe that as sample size increases p value decreases! Coffee No Coffee Coffee No Coffee Tea 15 5 20 Tea 1500 500 2000 No Tea 65 15 80 No Tea 6500 1500 8000 80 20 100 8000 2000 10000 Expected Expected Coffee No Coffee Coffee No Coffee Tea 16 4 Tea 1600 400 No Tea 64 14 No Tea 6400 1600 p value 0.531971 p value 4.10453E-10 In excel, we will calculate the expected table for finding out the p value. Expected table 80*20/100=16 80*80/100=64 20*20/100=4 p value =chitest(observed,expected) p value for table 1=0.5319 p value for table 2=4.104E-10 we observe that as sample size increases p value decreases b. Compute the odds ratio and interest factor for the two contingency tables presented in this problem and the original table of Example 10.9. (See Section 5.7.1 for definitions of these two measures.) What pattern do you observe? c. The odds ratio and interest factor are measures of effect size. Are these two effect sizes significant from a practical point of view? d. What would you conclude about the relationship between p-values and effect size for this situation? 2. Consider the different combinations of effect size and p-value applied to an experiment where we want to determine the efficacy of a new drug. (i) effect size small, p-value small (ii) effect size small, p-value large (iii) effect size large, p-value small (iv) effect size large, p-value large Whether effect size is small or large depends on the domain, which in this case is medical. For this problem consider a small p-value to be less than 0.001, while a large p-value is above 0.05. Assume that the sample size is relatively large, e.g., thousands of patients with the condition that the drug hopes to treat. a. Which combination(s) would very likely be of interest? b. Which combinations(s) would very likely not be of interest? c. If the sample size were small, would that change your answers? 2 • MUST HAVE GOOD PEOPLE SKILLS & CUSTOMER RELATIONS PRACTICE • TRAFFIC & SET-UP REQUIREMENTS • DISTANCE FROM THE FARM & HOW TO KEEP PRODUCE FRESH • TIME NEEDED TO PREPARE GOODS FOR FRESH MARKET DRAWBACKS: • FARMERS GET $ IMMEDIATELY • CONSUMERS CAN OFTEN SAMPLE PRODUCTS • ABILITY TO MARKET ANY QUANTITY OF GOODS (I.E. BRING WHAT YOU HAVE) • INCREASE EDUCATION AND CONSUMER AWARENESS • “TEST RUN” FOR DEVELOPING NEW PRODUCTS BENEFITS: • FARMERS WILL NEED TO MAKE SURE INTE ...

1. 1. Consider once again the coffee-tea example, presented in
Example 10.9. The following two tables are the same as the one
presented in Example 10.9 except that each entry has been
divided by 10 (left table) or multiplied by 10 (right table).
Table 10.7. Beverage preferences among a group of 100 people
(left) and 10,000 people (right).
a. Compute the p-value of the observed support count for each
table, i.e., for 15 and 1500. What pattern do you observe as the
sample size increases?
P value for table 1=0.5319
P value for table 2=4.104E-10
We observe that as sample size increases p value decreases!
Coffee
No Coffee
Coffee
No Coffee
Tea
15
5
20
Tea
1500
500
2000
No Tea

2. 65
15
80
No Tea
6500
1500
8000
80
20
100
8000
2000
10000
Expected
Expected
Coffee
No Coffee
Coffee
No Coffee
Tea
16
4

3. Tea
1600
400
No Tea
64
14
No Tea
6400
1600
p value 0.531971
p value 4.10453E-10
In excel, we will calculate the expected table for finding out the
p value.
Expected table
80*20/100=16
80*80/100=64
20*20/100=4
p value =chitest(observed,expected)
p value for table 1=0.5319
p value for table 2=4.104E-10
we observe that as sample size increases p value decreases
b. Compute the odds ratio and interest factor for the two
contingency tables presented in this problem and the original

4. table of Example 10.9. (See Section 5.7.1 for definitions of
these two measures.) What pattern do you observe?
c. The odds ratio and interest factor are measures of effect size.
Are these two effect sizes significant from a practical point of
view?
d. What would you conclude about the relationship between p-
values and effect size for this situation?
2. Consider the different combinations of effect size and p-
value applied to an experiment where we want to determine the
efficacy of a new drug.
(i) effect size small, p-value small
(ii) effect size small, p-value large
(iii) effect size large, p-value small
(iv) effect size large, p-value large
Whether effect size is small or large depends on the domain,
which in this case is medical. For this problem consider a small
p-value to be less than 0.001, while a large p-value is above
0.05. Assume that the sample size is relatively large, e.g.,
thousands of patients with the condition that the drug hopes to
treat.
a. Which combination(s) would very likely be of interest?
b. Which combinations(s) would very likely not be of interest?

5. c. If the sample size were small, would that change your
answers?
2
• MUST HAVE GOOD PEOPLE SKILLS &
CUSTOMER RELATIONS PRACTICE
• TRAFFIC & SET-UP REQUIREMENTS
• DISTANCE FROM THE FARM & HOW TO KEEP
PRODUCE FRESH
• TIME NEEDED TO PREPARE GOODS FOR
FRESH MARKET
DRAWBACKS:
• FARMERS GET $ IMMEDIATELY
• CONSUMERS CAN OFTEN SAMPLE
PRODUCTS
• ABILITY TO MARKET ANY QUANTITY OF
GOODS (I.E. BRING WHAT YOU HAVE)
• INCREASE EDUCATION AND CONSUMER
AWARENESS
• “TEST RUN” FOR DEVELOPING NEW
PRODUCTS

6. BENEFITS:
• FARMERS WILL NEED TO MAKE SURE INTENDED
PRODUCTS CAN BE MARKETED AT THAT
GIVEN LOCATION (MOST MARKETS HAVE SPECIFIC
CRITERIA).
• DO THE PRODUCTS REQUIRE SPECIAL LABELING &
AND THE FARMER A LICENSE TO SELL
SPECIFIC GOODS?
• WILL THE FARMER NEED SEVERAL TYPES OF
PRODUCTS TO MAINTAIN A LONG “SEASON”
AT THE MARKET?
• WHAT TYPES OF CROPS CAN BE GROWN ON THE
FARM?
• THINK ABOUT THE TYPES OF PRODUCTS A FARMER
MIGHT SELL
• CONTRASTING COLORS
• “ABUNDANCE”
• LABELS & PRICES
• SAMPLE RECIPES
• WELCOMING
MAKING
YOUR

7. DISPLAY
PURDUE EXTENSION – FARMERS MARKET
PREPARATION & BOOTH SET UP
•COMPLETE THE FARMERS MARKET PLANNING
DOCUMENT BY ANSWERING
ALL OF THE QUESTIONS IN DETAIL!
•PLEASE POST ANY QUESTIONS YOU MAY HAVE TO THE
GENERAL Q&A
DISCUSSION BOARD THREAD.
Farmers Market PlanningSome Pros & Cons of Farmers
MarketsWhat kinds of products can Be Sold at the farmers
market?How should The display be arranged?Making Your
DisplayPurdue Extension – Farmers Market Preparation &
Booth Set UPAssignment #4
FSD_vb_01.05.2012
Page 1 of 7
Farm Direct FAQ
(1) When is the Farm Direct law effective?
• January 1, 2012.
• The Oregon Department of Agriculture rules implementing the

8. law will be adopted as the Farm Direct
Marketing Rules and will be found at OAR 603-025-
0221through -0271.
(2) What kinds of businesses are covered under the Farm Direct
Marketing Rules?
• The new law and rules implementing it cover agricultural
producers (farmers) selling crops, eggs and
honey that they produced directly to retail customers. Farm
direct products cannot be commingled with
those of other agricultural producers.
• Farm direct venues include farmers’ markets, roadside stands,
community supported agriculture (CSA)
drop sites, buying clubs, church bazaars and other venues,
provided the sales are direct from farm to retail
customer.
• Farm Direct rules do not change licensing requirements for
selling through stores, restaurants and
institutions.
• Farm direct marketers may consign a limited number of farm
products to another direct farm seller under
certain conditions assuring their traceability.

9. (3) What farm products can I sell directly as an agricultural
producer?
• Fresh and dried fruits and vegetables, grains, legumes and
seeds.
• Eggs and unadulterated honey.
• Pickles, sauerkraut, preserves, jams, jellies and syrups under
certain conditions.
• A detailed list of those products that can be sold without
licensure and inspection and the conditions on
their sale can be found in Attachments A and B accompanying
this document.
(4) Can I sell my own meat, poultry or fish without a license?
• No. Farm Direct Marketing Rules contain no exemption from
licensure for the sale of meat, poultry, fish
or dairy in any form.
• Under separate rules there is an exemption from licensing for
a person who slaughters not more than
1,000 poultry per year and meets other requisites outlined in the
law.
FSD_vb_01.05.2012

10. Page 2 of 7
(5) Can I make preserves in jars and sell them without a
license?
• Yes. Farm Direct Marketing Rules cover a number of value-
added, shelf-stable products that are bottled,
canned or packaged. These items include: syrups, jams,
preserves, jellies and canned fruit.
• Other products that may be produced and sold under the
exemption include: pickles, chutneys, relishes,
sauerkraut, and some salsas.
• The foods above must be producer-processed; acidic; labeled
with the statements, “This produce is
homemade and is not prepared in an inspected food
establishment,” and “Not For Resale.”
• There is a gross annual sales limitation of $20,000 for these
foods.
(6) Farm Direct Marketing Rules use the term, “acidic foods.”
What is an acidic food?
• An “acidic food” is a bottled, packaged, or canned food with a
pH at or below 4.6. There are three
categories of acidic foods: naturally acidic (berries and plums,
for example), acidified (dill pickles, for

11. example) and lacto-fermented fruits and vegetables (sauerkraut,
for example).
(7) Do agricultural producers need to grow the principal
ingredients in their processed foods in
order to be eligible for the exemption? What is required to be
eligible for the exemption on the
products that are bottled, canned or packaged?
• Yes, agricultural producers must grow all the principal
ingredients, such as strawberries for strawberry
jam, in order to be eligible for the exemption. No commingling
of principal ingredients is allowed. They
are not required to produce the sugar, pectin and lemon juice for
the jam.
• Farm Direct Marketing rules limit the additional, non-
principal ingredients that may be added to foods
processed under these rules to herbs, spices, salt, vinegar,
pectin, lemon or lime juice, honey, and sugar.
• Processed products must be producer-processed—meaning that
the agricultural producers making the
products also grew the principal ingredients. Agricultural
producers who have another licensed processor
manufacture their product for them are not eligible for the Farm
Direct Marketing exemption.

12. (8) What is the gross annual sales limitation under the Farm
Direct Marketing rules?
• Once an agricultural producer’s gross sales of jams, jellies,
pickles and other acidic foods reach $20,000,
the producer must obtain a license for his/her own facility or
transfer production to a licensed co-processor.
• The $20,000 cap is calculated by adding together the gross
sales of all acidic products produced under the
farm direct exemption during a calendar year. The exemption
does not apply individually to each
separate product.
FSD_vb_01.05.2012
Page 3 of 7
(9) Can I sell canned foods other than acidic foods under the
Farm Direct Marketing rules?
• No. Canned goods must have a pH at or below 4.6. Non-
acidic or low-acid canned foods with,a pH
higher than 4.6, such as peppers, green beans or sweet corn,
pose a substantial risk of botulism and other

13. food safety concerns, and must be processed by a licensed and
inspected processor.
(10) How will agricultural producers know whether their canned
products meet acidic standards?
• Agricultural producers must monitor and record the pH (acid
level) of each batch of acidified foods, as
will be required by administrative rule, to ensure the safe
production of canned products.
• Monitoring of pH levels in tomato-based foods is especially
important since certain varieties of tomatoes
may not be sufficiently acidic to produce a safe product without
the addition of an acid, such as vinegar.
(11) Are there labeling requirements under Farm Direct
Marketing Rules?
• Yes. All state and federal labeling requirements still apply,
even to foods produced under the farm direct
exemption.
• Additionally, the principal display panel for certain products
must bear the following two statements:
“This product is homemade and is not prepared in an inspected
food establishment,” and “Not For
Resale.” Please see Attachment A.

14. • Dried fruits, vegetables and herbs, including than those dried
as part of normal post-harvest handling do
not require the “homemade” disclaimer on the label. State and
federal labeling laws require that the
information on the label includes: a list of ingredients, net
weight, and the name and address of the
agricultural producer.
(12) Can I dry what I grow if I want to sell it without a license?
• Yes. Farm Direct Marketing Rules allow agricultural
producers to sell fruits, vegetables and herbs they
have grown, harvested and dried without a license. No
commingling is allowed.
• A license is not required to sell nuts grown, harvested, cured
or dried, and cracked by agricultural producers.
• Drying farm produce such as garlic and potatoes as a part of
post-harvest handling does not require a license.
FSD_vb_01.05.2012
Page 4 of 7

15. (13) Can I direct-market grains and legumes that I have grown?
• Agricultural producers can grow and process for farm direct
sale a variety of products: whole, hulled,
crushed or ground grains, legumes and seeds, plus parched or
roasted grains—if of a type customarily
cooked before consumption. No commingling is allowed.
• These products must bear a label stating: “This product is
homemade and is not prepared in an inspected
food establishment,” and “Not For Resale.”
(14) How do the Farm Direct Marketing Rules affect the sale of
honey and eggs?
• Farm Direct Marketing Rules allow the sale of farm-produced
honey and eggs.
• Eggs and honey must bear a label that states: “This product is
homemade and is not prepared in an
inspected food establishment,” and “Not For Resale.”
• Only farm direct eggs (those sold by the egg producer to the
end user) are free from licensing
requirements. Eggs sold under consignment and those sold at
retail stores require licensing.
• Honey producers still need an apiary registration with the

16. Commodity Inspection Division of ODA if
they own five or more hives.
• Producers selling only to retail customers (end users) do not
need a Food Safety Division license,
regardless of the number of hives owned. Producers who have
more than 20 hives and are wholesaling
honey still need a Food Safety Division license.
(15) What types of food products can an agricultural producer
process at the market?
• Farm Direct Marketing Rules allow an agricultural producer to
roast the producer’s own peppers, nuts
and corn-on-the-cob and to pop the producer’s own popcorn at
farmers’ markets, if the foods mentioned
above are processed after purchase and are not sold for
immediate consumption.
• If an agricultural producer wishes to pop or roast his/her own
commodities for immediate consumption,
he/she should contact the County Health Department to discuss
the requirements for a temporary
restaurant license.

17. FSD_vb_01.05.2012
Page 5 of 7
(16) Can agricultural producers sell items under consignment?
• Under Farm Direct Marketing Rules, consignment means
selling products for another agricultural
producer who is from either the same or an adjoining county as
where the seller is located.
• The agricultural producer doing the selling must represent the
consigned goods as property of the
agricultural producer who produced them, and must ensure that
the products are clearly labeled with the
name, business address, and county of the agricultural producer
who produced the products.
• Consignment is limited to farm direct sales of: fresh fruits,
vegetables and herbs, unshelled nuts, honey,
plus items like garlic and potatoes that are cured or dried by the
agricultural producer as part of routine
post-harvest handling.
• Eggs also can be sold under consignment if the egg producer
has an egg handler’s license.

18. (17) How do Farm Direct Marketing Rules affect the
organizations that run farmers’ markets?
• Although the bill primarily addresses activities of agricultural
producers (farmers), one section of the bill
does address the characterization of farmers’ markets and other
organizations (such as church bazaars or
CSA drop sites) where farm direct marketing takes place.
• Organizations that manage a group of farm direct marketers
and the spaces upon which their stands are
set up are not required to be licensed as food establishments
when the organizations’ activities are limited
to hosting farm direct marketers.
• If an organization that manages a site where farm direct
marketing takes place were to operate in the
same manner as a grocery store – buying and selling food – it
would need to be licensed as a food
establishment.
• Organizers and/or managers of sites where of farm direct
marketing takes place should make sure that the
products offered for sale meet one of the following three
requirements:
• The food is in the category of fresh fruits and vegetables
grown by the agricultural producer.

19. • The food is otherwise exempted under the Farm Direct law or
rules; or
• The food is produced and/or sold by a licensed establishment.
FSD_vb_01.05.2012
Page 6 of 7
Attachment A
Foods Included in the Farm Direct Bill
Food Item
No Sales
Limit
$20,000
Sales Limit
“Not Inspected”
Labeling
Requirement
Allowed For
Consignment*

20. fresh fruits, vegetables, herbs X X
dried fruits, vegetables, herbs X +
grains, whole or cracked X X
parched or roasted grains X X
fresh legumes and seeds X
dried legumes and seeds X X
flour X X
nuts in shell X X
shelled nuts X
eggs in shell X X X*
natural honey, no additives X X X
canned fruit, syrups, preserves,
jams, jellies
X X
salsa and hot sauce X X
sauerkraut or lacto fermented
vegetables
X X
pickles X X
* Consignment allowed when the egg producer has an egg
handler license.
+Not unless part of routine post-harvest handling.
FSD_vb_01.05.2012
Page 7 of 7

21. Attachment B
Unlimited Sales
• fruits, vegetables, herbs (fresh and dried)
• grains, whole or cracked
• parched and roasted grains
• legumes and seeds, fresh and dried
• flour
• nuts, shelled
• nuts, unshelled
• eggs, in shell
• natural honey, no additives
• popcorn, popped (prepared on-site; not intended for immediate
consumption; packaged to take home.)
• nuts, roasted(prepared on-site; not intended for immediate
consumption; packaged to take home.)
• peppers, roasted (prepared on-site; not intended for immediate
consumption; packaged to take home.)
• corn-on-the-cob, roasted (prepared on-site; not intended for
immediate consumption; packaged to take
home.)
Subject to $20,000 Annual Gross Sales Limitation and extra
labeling requirements
• canned fruit (acidic, fruit-based)
• syrups (acidic, fruit-based)
• preserves (acidic, fruit-based)
• jams (acidic, fruit-based)
• jellies (acidic, fruit-based)
• salsas that are naturally acid, or made acidic by addition of
ingredients
• sauerkraut, kim chi, and other lacto fermented fruits and
vegetables
• pickles in vinegar (fruit or vegetable)

22. • pickle relish, acidified
• chutneys that are naturally acid, or made acidic by addition of
ingredients
CROP/HORT 300 – Assignment #4
Farmers Market Planning
30 Points
Overview:
Following our discussion regarding market gardens and fresh
market vegetables, you are now tasked with
exploring the Farmers Market direct marketing option further.
Many of you have probably been involved
in some aspect of Farmers Markets…whether you own/operate a
booth or even participate as a patron of
Farmers Markets. However, developing a Farmers Market booth
is a very complicated process—
applications, licenses, labor, orientations, and more. With this
assignment, your mission is to answer the
attached questions and create a detailed document outlining how
you would develop your ideal farmers
market booth/stall.
Instructions:
1. To start with, brainstorm some Pros and Cons of Farmers
Markets.
a. If you are struggling to create a list of benefits and
drawbacks, check out the University of

23. Tennessee’s Extension website.
2. Now, please visit the Oregon Farmers Market website to
access information about food safety at
Oregon Farmers Markets. After reviewing this page, review the
Farm Direct FAQ document linked
on this Canvas assignment page to learn more about the
specifics of the bill, which became
effective in January 2012. Most states will have slightly
different requirements.
a. You are not required to create a Farmers Market booth for the
Oregon market. However,
please be sure that your booth design adheres to the rules and
regulations for your state
and the guidelines for the specific Farmers Market you will
attend.
3. Next, go to the eXtension website illustrating the art of how
to create a Farmers Market display.
4. After having an idea of how to plan for and set up a Farmers
Market booth, answer the following
questions. Your grade will reflect the quality (i.e. details
included) of each answer (as
appropriate)…for example, do not simply state that your
farmers market booth will feature
vegetables, but rather feature ‘Candy Corn’ sweet fresh corn,
‘Arugula’ fresh garden lettuce, and an
assortment of Halloween pumpkins.
Grading Rubric:
Grading
Criteria

24. No Marks
(0 pts.)
Weak
(1-49%)
Developing
(50-79%)
Strong
(80-100%)
Total
Points
Questions
(total) No attempt
Questions were
answered, but
were not complete
and vague
Questions were
answered in a
mediocre manner
Each question was
answered in a
thorough, detailed,
and descriptive
manner

25. 30
TOTAL 30
https://extension.tennessee.edu/WebPacket/Pages/WP-2014-11-
ProsConsFarmersMarkets.aspx
https://extension.tennessee.edu/WebPacket/Pages/WP-2014-11-
ProsConsFarmersMarkets.aspx
https://www.oregonfarmersmarkets.org/food-safety-
guidelines?rq=farm%20bill
http://articles.extension.org/pages/10986/the-art-and-science-of-
farmers-market-display
Questions:
1. What is the name of your Farmers Market Stand (i.e. the
Farm name, Co-Op, etc.)? (1 Point)
___________________________________________
2. How large is your base operation (the number of ft2 or acres,
whichever is appropriate to describe
your market garden/farm)? Where is your operation located?
To which established Farmers
Market(s) will you be attending to market your products? (5
Points)
___________________________________________
3. Will you have any employees to operate your Farmers Market
stand? If not, who will be present?

26. Will these individuals receive compensation for operating the
Farmers Market stand? Explain. (5
Points)
_________________________________________
4. What types of products do you anticipate marketing (fruits,
vegetables, processed goods, eggs,
etc.)? Be specific. (4 Points)
________________________________________
5. Is the Farmers Market going to be the only direct marketing
strategy/option that you will utilize to
sell goods? Explain your answer/reasoning. If you anticipate
using other strategies, which one(s)?
(5 Points)
________________________________________
6. In terms of your Farmers Market booth and display, how will
you attract potential customers? (10
Points) (NOTE: Up to 5 points Extra Credit will be awarded for
including a drawing or sketch your
ideal Farmers Market booth display—pictures will not be
accepted for extra credit).
________________________________________
Overview:Instructions:Grading Rubric:Questions: