If two commodities are unrelated, a change in the price of one will____________

have no effect on the quantity demanded of the other

have effect on the quantity demanded of the other

have no effect on the quantity demanded of the other

increase the quantity demanded on the other

decrease the quantity demanded on the other

The determination of wages in a labour market depends on the_______

Interaction between demand and supply of labour

Most of the National debts is "dead weight" in the sense that is____

bound to increase from year to year

accumulated as the result of past capital investment

the responsibility of the treasury

The term M 33 comprises M 11 together with deposits on deposit account held by_______

banks, discount houses and stock, exchanges

When a member's currency is declared "scarce", it is the duty of the IMF to______

ration it among the countries demanding it

suspend the member state indefinitely

ban all exports from that state

suspend dealings in that currency for one year

ration it among the countries demanding it

ECOWAS was formed for the purpose of________

promoting co-operation and integration

to facilitate the expansion of international trade

One of these is not a way by which government encourage industrialization?

Low Productivity and inefficiency

Protection of Infant industries

Establishment of Nigeria Enterprises Promotion Decree

Low Productivity and inefficiency

Establishment of higher institutions

One of these is not a problem of agriculture___________

lack of preservation and storage facilities

JAMB UTME - Economics - 2019 | Green Bridge CBT

Question 1 Report

An example of a market which approaches fairly near to perfection is____________

the retail market

the house market

the labour market

the foreign exchange market Correct answer

Answer Details

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Methods And Tools Of Economic Analysis

Market Structures

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Question 2 Report

The basic principle underlying location of industry is the tendency for production of a commodity to be located on the basis of______

division of labour

employment trends

relative costs and benefits Correct answer

immobility of skilled labour

Answer Details

The basic principle underlying the location of industry is the tendency for production of a commodity to be located on the basis of "relative costs and benefits." The location of industry is determined by a variety of factors such as access to raw materials, labor supply, transportation, energy, and infrastructure. However, the primary factor is the cost and benefit analysis of each potential location. Industries tend to locate where the benefits of the location outweigh the costs. For example, an industry that requires large quantities of water may locate near a river or lake where water is abundant and cheap. An industry that produces heavy goods may locate near a port or railhead to reduce transportation costs. An industry that produces high-value products may locate near a skilled workforce or a research and development center to take advantage of the availability of talent. In general, industries seek to minimize their costs and maximize their benefits by locating in areas that provide the best combination of factors. This is why certain industries tend to be concentrated in particular regions or countries where the relative costs and benefits of production are most favorable.

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Agriculture

Industry And Industrialization

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Question 3 Report

One of these is not an assumption of the cardinalist theory of utility?

The consumer is rational

Diminishing marginal utility

The concept of money utility

Consistency and transivity of choice Correct answer

Answer Details

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Question 4 Report

If wage rate is less than the average revenue product, the firms would be earning________

loss

super normal profit Correct answer

normal profit

higher revenue

Answer Details

If the wage rate is less than the average revenue product (ARP), the firms would be earning a profit. The ARP is the amount of revenue generated by one unit of labor and is typically greater than the wage rate. If the firm is paying its workers less than the amount of revenue they generate, the firm will have extra revenue left over, which is a profit. So, in this situation, the firm would either be earning a normal profit or a super normal profit, depending on the size of the gap between the wage rate and the ARP. A normal profit is the minimum level of profit necessary for a firm to stay in business, while a super normal profit is a profit that is higher than the normal profit.

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The Theory Of Production

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Question 5 Report

Which of the following is not a cause of unemployment_______

poor education

lack of skills

good government planning Correct answer

corruption

Answer Details

"Good government planning" is not a cause of unemployment. Unemployment refers to the situation where individuals who are actively seeking employment are unable to find work. The causes of unemployment can be complex and multi-faceted, but typically include factors such as a lack of available jobs, poor education and lack of relevant skills, and corruption. "Good government planning" is not a direct cause of unemployment, but it can have an indirect effect by helping to create a favorable economic environment that supports job growth and job creation. For example, good government planning can help to attract businesses to an area, provide funding for education and training programs, and reduce corruption, all of which can help to reduce unemployment over time.

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Banking

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Question 6 Report

A demand which gives rise to the reverse of the law of demand is__________

Derived demand

Joint demand

Abnormal demand

Correct answer

Composite demand

Answer Details

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The Theory Of Demand

Demand

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Question 7 Report

An economic condition in which much reduced economic activity co-exists with inflation is referred to as__________

stagflation

inflationary spiral

slump inflation Correct answer

inflationary gap

Answer Details

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Money And Inflation

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Question 8 Report

An example of a vertical combination is the merger of_________

a spinning firm and a wearing firm Correct answer

two meat retailing firms

two very large wholesale textile distributors

three secretarial employment agencies in one town

Answer Details

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Agriculture

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Question 9 Report

The oil boom between 1970 - 1980 caused the oil sector to become____________

the main source of government Correct answer

management of spillage and pollution

protection to the local operators in the petroleum industry

decrease in the rate of inflation

Answer Details

The oil boom between 1970-1980 caused the oil sector to become the main source of government revenue. This is because during this time period, the demand for oil was high and the price of oil was high, which led to an increase in profits for oil companies and the countries that produced oil. As a result, the government received a significant portion of its revenue from the oil sector, which made it the main source of government funding. This allowed the government to fund various projects and initiatives, and also had a significant impact on the economy.

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Petroleum And The Nigerian Economy

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Question 10 Report

Among the disadvantages of the one-man business is the fact that______

its capital may not be increased without government permission

the proprietor is personally liable for the firm's debts Correct answer

the proprietor is not able to obtain credit

the proprietor may not sue for bad debts

Answer Details

The main disadvantage of a one-man business is that the proprietor is personally liable for the firm's debts. This means that if the business is unable to pay its debts, the proprietor's personal assets, such as their savings, property, or other valuables, can be used to settle the debt. This can put the proprietor's personal financial stability at risk and may discourage them from taking on certain business ventures or expanding the business.

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Business Organizations

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Question 11 Report

The money market equilibrium is defined as_________

when the demand and supply of money are equal Correct answer

when demand is greater than supply of money

when demand is less than supply of money

when supply is greater than demand for money

Answer Details

The money market equilibrium is defined as when the demand and supply of money are equal. In other words, the amount of money people want to hold (demand) is equal to the amount of money available (supply). Think of the money market as a marketplace where people buy and sell money. Just like any other market, when there is high demand for a product, its price (in this case, the interest rate) will increase. When there is low demand, the price (interest rate) will decrease. In the money market, the interest rate is a measure of the cost of borrowing money. If there is a high demand for money, people are willing to pay a higher interest rate to borrow it. This results in an increase in the interest rate. On the other hand, if there is low demand for money, people are not willing to pay a high interest rate, and the interest rate decreases. When the demand and supply of money are equal, the interest rate will be at the level where the quantity of money that people want to hold is equal to the amount of money available. This is the money market equilibrium.

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Theory Of Price Determination

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Question 12 Report

The demand for labour is a________

Derived demand Correct answer

Joint demand

Complementary demand

Composite demand

Answer Details

The demand for labor is a "derived demand". This means that the demand for labor is not a direct demand for labor itself, but rather it is derived from the demand for goods and services that labor can produce. In other words, businesses hire workers because they need them to produce the goods and services that they sell. For example, if a business sells pizzas, it will need workers to make the pizzas, deliver the pizzas, and serve the customers. The demand for labor in this case is derived from the demand for pizzas. If the demand for pizzas increases, the demand for labor to produce and deliver the pizzas will also increase. Therefore, the demand for labor is closely tied to the demand for the goods and services that labor produces, and it is derived from that demand.

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The Theory Of Demand

Demand

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Question 13 Report

Assume that, for a certain country in a given year, the index of import prices stands at 102, the index of export prices stands at 106. The terms of trade are (to the nearest whole number)

208

104 Correct answer

Answer Details

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International Trade

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Question 14 Report

Economics is a social science concerned with the proper use and______

production of goods and services

distribution of wealth

allocation of resources for growth Correct answer

creation of utility

Answer Details

Economics is a social science concerned with the proper use and allocation of resources for growth. Economics is the study of how society uses its limited resources to satisfy its unlimited wants and needs. It is concerned with how individuals, businesses, and governments make choices about how to use resources to produce goods and services, and how these goods and services are distributed among the members of society. The proper use and allocation of resources are essential for economic growth, which is the increase in the production and consumption of goods and services over time. This growth is achieved through the efficient use of resources to create more goods and services, which can then be distributed to meet the needs of society. Economics helps us to understand how resources are allocated and used in different economies and how these decisions affect the overall well-being of individuals and societies.

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Factors Of Production And Their Theories

Economics As A Science

Economic Growth And Development

Economic Systems

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Question 15 Report

The sector which contribute highly to the economy is___________

Primary sector Correct answer

Secondary sector

Tertiary sector

Education sector

Answer Details

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Agriculture

National Income

Population And Labour Market

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Question 16 Report

The second equation of exchange is__________

MV = PT

P = M/KR Correct answer

P = MV/T

P=MV

Answer Details

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Question 17 Report

The basic and essential economic problems in a community are related to choice and________

Freedom

Scarcity Correct answer

Social class

Politics

Answer Details

The basic and essential economic problems in a community are related to choice and scarcity. Scarcity refers to the limited availability of resources in any given community. These resources can include natural resources, such as land, water, and minerals, as well as human-made resources, such as factories, machines, and tools. Because these resources are limited, there is never enough of them to satisfy everyone's wants and needs. This scarcity means that individuals, businesses, and governments must make choices about how to allocate these resources in the most efficient way possible. This requires making trade-offs and decisions about what goods and services to produce, how to produce them, and who should receive them. , Freedom, and Politics, are not directly related to the basic and essential economic problems of choice and scarcity. Social class, may be related to economic problems, but is not a fundamental concept in economics.

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Read lesson note on Economic Systems (JAMB)

Economics As A Science

Types And Basic Features Of Economic Systems

Economic Systems

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Question 18 Report

Given two substitute goods (X and Y) with demand and supply function;

Qd = 7p - 12

Qs = 4p + 9

Find the magnitude of excess demand when p = ₦18

303

114

33 Correct answer

Answer Details

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The Theory Of Supply

The Theory Of Demand

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Question 19 Report

Effective demand for a commodity is desire for that commodity backed by_______

a wish for the lowest possible price

ability and willingness to pay Correct answer

cash in one's pocket

a promise to make payment

Answer Details

Effective demand for a commodity is the desire or want for that commodity backed by the ability and willingness to pay for it. This means that a person not only wants the commodity, but also has the means to purchase it and is willing to part with their money in exchange for it. For example, if someone wants to buy a new car but does not have the money to pay for it, their desire for the car is not effective demand. Similarly, if someone has the money but is not interested in buying a car, their willingness to pay is not effective demand. Effective demand requires both the desire for the commodity and the ability and willingness to pay for it. It is the combination of these two factors that drives the demand for goods and services in the economy.

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The Theory Of Demand

Demand

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Question 20 Report

If AC and MC are represented on a graph, the MC curve will cut the AC curve_______

at the maximum point on the AC curve

at the highest point on the AC curve

at the minimum point on the AC curve Correct answer

at the peak

Answer Details

The MC (marginal cost) curve will cut the AC (average cost) curve at the minimum point on the AC curve. This is because the minimum point on the AC curve represents the lowest average cost of production, and the MC curve intersecting the AC curve at this point indicates that the marginal cost of producing one more unit is equal to the average cost. In other words, at the minimum point on the AC curve, any further increase in production would lead to an increase in the average cost.

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The Theory Of Production

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Question 21 Report

Poverty simply refers to the low level of________

planning

per capita income Correct answer

rich people

labour face

Answer Details

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National Income

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Question 22 Report

When of the following matters may account for changes in supply?

I - technological advances in an industry

II - changes in labour costs

III - changes in source of supply

IV - changes in levels of taxation

I, II

I, III

II, III, IV

I, II, III, IV Correct answer

Answer Details

All of the options listed - I, II, III, and IV - can contribute to changes in supply. Technological advances in an industry can increase the efficiency of production and lower costs, leading to an increase in supply. Changes in labor costs, such as an increase in wages, can make production more expensive, leading to a decrease in supply. Changes in the source of supply, such as a new supplier entering the market or a current supplier becoming unavailable, can also impact supply. Finally, changes in levels of taxation, such as an increase in taxes on production, can make production more expensive and lead to a decrease in supply. Therefore, all four options can impact changes in supply.

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Question 23 Report

The arithmetic mean of 5, 8, 10, 15, 24 and 28 is_______

145

15 Correct answer

Answer Details

To find the arithmetic mean of a set of numbers, you need to add up all the numbers and divide the sum by the total number of numbers. In this case, we have six numbers, so we need to add them up and divide by 6. Adding up the numbers, we get: 5 + 8 + 10 + 15 + 24 + 28 = 90 Then, we divide the sum by the total number of numbers: 90 / 6 = 15 Therefore, the arithmetic mean of 5, 8, 10, 15, 24 and 28 is 15.

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Methods And Tools Of Economic Analysis

Public Finance

Population And Labour Market

The Theory Of Demand

National Income

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Question 24 Report

Let the quantity demanded in units of a particular commodity be represented as Qd = 80 - 2P, find the quantity demanded when P = ₦3.

74 Correct answer

Answer Details

The quantity demanded (Qd) of a commodity is related to its price (P) through the equation Qd = 80 - 2P. So, if we know the price of the commodity, we can use this equation to find the quantity demanded. In this case, the price is given as ₦3. So, we can plug in this value of price into the equation to find the quantity demanded: Qd = 80 - 2P Qd = 80 - 2 * 3 Qd = 80 - 6 Qd = 74 Therefore, the quantity demanded when the price is ₦3 is 74 units.

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Theory Of Price Determination

The Theory Of Demand

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Question 25 Report

The use of government income and expenditure instrument to regulate the economy is termed______

monetary policy

physical policy

fiscal policy Correct answer

public finance

Answer Details

The use of government income and expenditure instrument to regulate the economy is called fiscal policy. Fiscal policy is a tool used by the government to influence the economy by changing the level and composition of government spending and taxation. The main aim of fiscal policy is to achieve macroeconomic objectives, such as controlling inflation, promoting economic growth and stability, and reducing unemployment. When the government increases its spending and/or reduces taxes, it injects more money into the economy, which can increase consumer spending and business investment. This can help to stimulate economic growth, create jobs, and increase aggregate demand. On the other hand, when the government reduces its spending and/or increases taxes, it takes money out of the economy, which can help to cool down an overheating economy and reduce inflation. In summary, fiscal policy involves using government income (taxation) and expenditure (spending) to influence the economy and achieve macroeconomic objectives.

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Public Finance

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Question 26 Report

The most important cost curve for the firm is_________

AC Correct answer

Answer Details

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Theory Of Costs

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Question 27 Report

The last link in the channel of distribution is____________

Producer

Retailer

Consumer Correct answer

Wholesaler

Answer Details

The last link in the channel of distribution is the Consumer. The channel of distribution refers to the path that a product takes from the producer to the final customer. The producer creates the product, and it is then sold to a wholesaler, who sells it to a retailer, and finally, the retailer sells it to the consumer. The consumer is the end user of the product and is the last link in the chain of distribution. In other words, the consumer is the person who ultimately buys the product and uses it for their own purposes. The channel of distribution is important because it helps to ensure that the product reaches the end user in a timely and efficient manner.

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Distributive Trade

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Question 28 Report

Which of the following persons is engaged in "Secondary Production"?

I - a bricklayer

II - an automobile assembly-line worker

III - an accountant

IV - a cinema projectionist

I only

I, II Correct answer

II, III

I, II, III, IV

Answer Details

Secondary production refers to the process of transforming raw materials into finished goods, typically in a factory setting. Out of the four options, only one involves transforming raw materials into finished goods in a factory setting, and that is option II, an automobile assembly-line worker. A bricklayer (option I) works in construction and is not involved in transforming raw materials into finished goods in a factory setting. An accountant (option III) works in the service sector and is not involved in producing goods. A cinema projectionist (option IV) is also not involved in producing goods but rather in providing a service. Therefore, the answer is option II, an automobile assembly-line worker.

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Business Organizations

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Question 29 Report

An Instrument used by the central bank to fix commercial and merchant banks total credit to domestic economy is________

monetary policy

fiscal policy

credit ceiling Correct answer

open market operation

Answer Details

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Banking

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Question 30 Report

A supply curve slopes upwards from the left to the right indicating__________

a negative slope

a positive slope Correct answer

a backward sloping supply curve

short-run supply curve

Answer Details

A supply curve that slopes upwards from left to right indicates a positive slope. This means that as the price of a good or service increases, the quantity supplied by suppliers also increases. In other words, producers are willing to supply more of a good or service at higher prices. To understand why this is the case, think about it from the perspective of a supplier. If the price of a good or service goes up, it becomes more profitable for suppliers to produce and sell that good or service. As a result, suppliers are incentivized to increase their production in order to take advantage of the higher prices and earn more profits. This is why the quantity supplied by suppliers tends to increase as the price of a good or service increases. It's important to note that this explanation applies to the long run. In the short run, supply may be relatively fixed and a supply curve may be upward sloping or even backward sloping, indicating that the quantity supplied doesn't change much in response to changes in price. However, over the long run, suppliers have more time to adjust their production levels and the supply curve typically slopes upward.

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Theory Of Price Determination

Supply

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Question 31 Report

Which of the following matters may account for changes in demand?

I - changes in consumer preferences

II - changes in real income

III - changes in distribution of incomes

IV - changes in levels of taxation

I, II

II, III

I, III, IV

I, II, III, IV Correct answer

Answer Details

Changes in demand can be influenced by various factors. Among them, changes in consumer preferences, real income, distribution of incomes, and levels of taxation can all affect the quantity of a good or service that consumers are willing and able to buy at a given price. I. Changes in consumer preferences refer to shifts in the tastes and preferences of consumers. For example, if people start to prefer healthier food options, the demand for fruits and vegetables may increase while the demand for processed foods may decrease. II. Changes in real income can also impact demand. If people's real income increases, they may be able to afford more goods and services, which can lead to an increase in demand for those products. Conversely, if real income decreases, consumers may cut back on their spending, leading to a decrease in demand. III. Changes in the distribution of incomes can also affect demand. If the distribution of incomes becomes more unequal, with some people becoming much richer and others becoming much poorer, this can impact the demand for certain products. For example, if the rich become richer, they may be more willing to purchase luxury goods, leading to an increase in demand for those products. On the other hand, if the poor become poorer, they may not be able to afford certain goods, leading to a decrease in demand. IV. Changes in levels of taxation can impact demand by affecting the disposable income of consumers. If taxes increase, consumers may have less disposable income, leading to a decrease in demand for certain goods and services. Conversely, if taxes decrease, consumers may have more disposable income, leading to an increase in demand for certain products. Therefore, the answer is: I, II, III, IV, since all four factors can account for changes in demand.

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Question 32 Report

A rise in the supply of a commodity cause__________

an increase in the equilibrium price and decrease in the equilibrium quantity bought and sold

an increase in both equilibrium

a decrease in the equilibrium price and an increase in the equilibrium quantity bought and sold Correct answer

a decrease in both equilibrium

Answer Details

When the supply of a commodity increases, it means that there is more of that commodity available in the market than before. This increase in supply causes the market to shift, leading to a change in the equilibrium price and quantity of that commodity. As the supply of the commodity increases, sellers will want to sell more of the commodity, but buyers may not want to buy as much at the higher price. This creates a surplus, where there is more supply than demand, causing the price to decrease. As the price decreases, buyers are more willing to buy the commodity, and sellers may reduce the amount they are willing to sell, until the market reaches a new equilibrium. This new equilibrium will have a lower price and a higher quantity bought and sold than before the increase in supply. Therefore, the correct answer is: a decrease in the equilibrium price and an increase in the equilibrium quantity bought and sold.

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Theory Of Price Determination

Supply

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Question 33 Report

In a perfect competition, the market price is determined by_______

the government

the producer

the consumer

the market supply and demand junctions Correct answer

Answer Details

In a perfect competition, the market price is determined by the market supply and demand junctions. This means that the price is set by the intersection of the supply of goods and services offered by producers and the demand for those goods and services by consumers. When there is a high demand for a good or service, the price will go up, and when there is a low demand, the price will go down. This is because producers will raise their prices when there is high demand in order to make more profit, and they will lower their prices when there is low demand to try to sell more goods. On the other hand, consumers will be willing to pay more for a good or service when there is high demand and they will be less willing to pay when there is low demand. The market price is a result of the negotiation between producers and consumers, and it reflects the balance between supply and demand in the market.

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Question 34 Report

If the demand for a commodity is perfectly elastic, the incidence of a tax on that commodity will be, other things being equal, entirely on the_______

buyer

seller Correct answer

government

local authority

Answer Details

If the demand for a commodity is perfectly elastic, it means that even a small change in price will cause a significant change in the quantity demanded. In other words, consumers are very sensitive to changes in price, and if the price increases, they will simply buy another substitute product that is cheaper. Now, if a tax is imposed on this commodity, it will cause the price of the commodity to increase. Since the demand is perfectly elastic, consumers will not be willing to pay the higher price and will switch to substitute products. As a result, the entire incidence of the tax falls on the seller or producer of the commodity. This is because the higher price caused by the tax will result in a decrease in the quantity demanded, and the producer will have to reduce the price in order to sell the product. Therefore, the producer bears the entire burden of the tax. In summary, if the demand for a commodity is perfectly elastic, the incidence of a tax on that commodity will be entirely on the seller or producer, as consumers are very sensitive to price changes and will switch to substitute products if the price increases.

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Public Finance

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Question 35 Report

An economy system that uses what is regarded as the "Market mechanism" is called_______

Mixed economy

Socialism

Command economy

Capitalism Correct answer

Answer Details

Capitalism is an economic system that uses the market mechanism. In a capitalist economy, individuals and businesses own and operate the means of production, and the prices of goods and services are determined by supply and demand in the marketplace. In simple terms, this means that people are free to produce and sell whatever they want, and consumers are free to buy whatever they want, at prices that are determined by the market. This creates an economy that is driven by competition and innovation, and is often associated with growth and prosperity. It is important to note that capitalism can take on different forms, ranging from a more laissez-faire approach with minimal government intervention, to a more regulated form with a larger role for the government in managing the economy.

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Question 36 Report

The birth rate in 1976 for a certain country with a population of 10m was 8.0. This means that in 1976,___________

there were 80,000 live births in the country Correct answer

there were 6,400 live births in the country

there were 8 live births to every 100 women in working-class families

8 in every 1000 women of 21 - 45 gave birth to a live child

Answer Details

In 1976, there were 8 live births for every 1,000 people in the population of the country. This means that for a population of 10 million people, there would be 8 x 10,000 = 80,000 live births in the country.

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Population

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Question 37 Report

In the short-run, the monopoly makes_______

Normal profit

Abnormal Profit Correct answer

Loss

Sales

Answer Details

In the short-run, a monopoly can make abnormal profit. Abnormal profit is a profit that is higher than the normal profit a company would make in a competitive market. This is because a monopoly has market power, meaning it has control over the price of its product and can set it higher than the market price, leading to higher profits. However, it's important to note that this situation is only temporary and in the long-run, competition and other factors can drive down prices and eliminate the abnormal profit.

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The Theory Of Supply

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Question 38 Report

The average curve and the marginal curve are U-shaped in the short-run and flatter in the long-run due to________

Economies of scale Correct answer

Money cost

Opportunity cost

Cost functions

Answer Details

The reason why the average curve and the marginal curve are U-shaped in the short-run and flatter in the long-run is due to economies of scale. Economies of scale refer to the cost advantages that firms experience as they increase their production output. In the short-run, firms are often operating at less than their optimal capacity and therefore may experience diseconomies of scale as they increase output, which leads to higher average costs and a U-shaped average curve. Meanwhile, the marginal cost curve intersects the average cost curve at its minimum point, which is why it is also U-shaped in the short-run. However, in the long-run, firms have more time to adjust their inputs and can increase the scale of their operations. As they do so, they can experience economies of scale, which lead to lower average costs and a flatter average curve. This means that the marginal cost curve intersects the average cost curve at a lower point than in the short-run, making it flatter. Overall, this illustrates how economies of scale can affect a firm's production costs and how this can be reflected in the shape of the average and marginal cost curves.

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Read lesson note on Theory Of Costs (JAMB)

The Theory Of Production

Theory Of Costs

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Question 39 Report

Supply is________

A stock

A Flow

Correct answer

Constant

A table

Answer Details

Read lesson note on Theory Of Price Determination (WAEC)

Read lesson note on Theory Of Production (WAEC)

Read lesson note on The Theory Of Price Determination (JAMB)

Read lesson note on Supply (WAEC)

Theory Of Price Determination

Theory Of Production

The Theory Of Price Determination

Supply

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Question 40 Report

As indifference curve shows equal level of satisfaction at all points, An isoquant shows equal level of_________

Input

Commodities

Output Correct answer

Factors

Answer Details

An isoquant shows equal level of output. An isoquant is a curve that represents all the possible combinations of inputs (such as labor and capital) that can produce the same level of output for a particular product or service. In other words, it represents all the different ways to produce the same amount of output using different combinations of inputs. So, all points on an isoquant represent the same level of output, and this level of output gives us the same satisfaction or usefulness. As we move along the isoquant, we can produce the same output using different combinations of inputs, but the level of output remains constant. In simple terms, an isoquant is a line that shows the different combinations of inputs that can produce the same level of output.

Read lesson note on Theory Of Production (WAEC)

Read lesson note on The Theory Of Demand (JAMB)

Theory Of Production

The Theory Of Demand

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