JAMB UTME - Economics - 2018

The population density of a town made up of 50 square kilometer land area and 100 million people is________

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To calculate the population density, we need to divide the total population by the land area. Population density = Total population / Land area In this case, the total population is 100 million and the land area is 50 square kilometers. So, Population density = 100 million / 50 square kilometers Simplifying the above expression, we get: Population density = 2 million people per square kilometer Therefore, the correct option is "2 million people per square kilometer".

The two major types of international trade are Bilateral trade and?

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The two major types of international trade are bilateral trade and multilateral trade. Bilateral trade refers to the exchange of goods and services between two countries. It involves the negotiation and agreement of terms and conditions between two parties, and it usually results in a trade surplus or deficit for each country. On the other hand, multilateral trade involves the exchange of goods and services among three or more countries. This type of trade is governed by international trade agreements, such as the World Trade Organization, and aims to promote free trade and economic cooperation among member countries. In summary, bilateral trade involves trade between two countries, while multilateral trade involves trade among three or more countries and is governed by international trade agreements.

The privatization exercise in Nigeria is a move towards a____________

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The privatization exercise in Nigeria is a move towards a market economy. A market economy is a type of economic system in which decisions regarding investment, production, and distribution are guided by the price signals created by the forces of supply and demand. In a market economy, resources are owned and controlled by individuals and private enterprises, rather than the government. In Nigeria's case, the privatization exercise involves the transfer of ownership and control of state-owned enterprises (SOEs) to private individuals or companies. This shift from state ownership and control to private ownership and control is a characteristic feature of a market economy. By reducing the role of the government in the economy, the privatization exercise in Nigeria is aimed at promoting competition, encouraging innovation, and improving efficiency in the management of these formerly state-owned enterprises.

The money paid per hour for work done is_________

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The money paid per hour for work done is called a "wage rate". Wage rate is the amount of money an employee is paid for each hour of work. It's a basic unit of pay that reflects the compensation an employee receives for the time and effort they put into their job. The wage rate can be influenced by various factors, including the employee's experience, qualifications, and the type of work they do. It's important to note that wage rate is different from salary, which is a fixed amount of money paid to an employee for a set period of time, usually annually or monthly. A bonus, on the other hand, is an additional payment made to an employee in recognition of good work or as a reward for achieving a specific goal.

From the graph above the consumer will attain equilibrium at point_______________

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The current stage of the economy is depicted in curve I. The movement of curve I to II suggests___________

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The coefficient of the price elasticity of supply is always_____________

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The coefficient of the price elasticity of supply is positive. This means that as the price of a good or service increases, the quantity of it that is supplied will increase as well. Conversely, if the price decreases, the quantity supplied will decrease. The degree to which the quantity supplied responds to changes in price is what the coefficient of the price elasticity of supply measures. A perfectly elastic supply has an elasticity of infinity, meaning that even a small change in price will result in a large change in the quantity supplied. On the other hand, a perfectly inelastic supply has an elasticity of zero, meaning that the quantity supplied does not change in response to price changes.

The transfer of public share holding in corporations to private enterprise is___________?

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The transfer of public shareholding in corporations to private enterprise is called privatization. This means that the ownership and control of a company, which was previously held by the government or the public, is now transferred to a private company or individual. Privatization can take many forms, such as selling shares of a public company to private investors, selling off a state-owned enterprise to a private company, or outsourcing government services to private companies. The goal of privatization is usually to improve efficiency, increase competition, and reduce government spending. In summary, privatization refers to the transfer of ownership and control of public companies to private entities, which is done to improve the performance and efficiency of the organization.

The type of business finance that entitles the holder to a fixed rate of dividend is______________--

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The type of business finance that entitles the holder to a fixed rate of dividend is called "preferred stock." Preferred stock is a type of investment in a company that gives shareholders a higher priority claim on dividends compared to common stockholders. This means that if the company distributes profits as dividends, the holders of preferred stock will receive their dividend payments first, before common stockholders. In addition to priority dividend payments, preferred stockholders may also have other advantages over common stockholders, such as the ability to vote on certain matters, and a greater degree of safety in the event of bankruptcy or liquidation. The key feature of preferred stock is that it provides a fixed rate of dividend, which is agreed upon at the time of issuance. This means that the company is obligated to pay a certain amount of dividend to preferred stockholders, regardless of how the company performs financially. This can make preferred stock a relatively stable investment option, especially for investors who are seeking a regular income stream.

A country's budget allocation to various sectors of the economy is shown in the pie chart.

If the budget of the country was $7,200.00, how much is allocated to education?

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The pie chart shows the budget allocation of a country. The total budget is $7,200.00. To find out how much is allocated to education, we need to look at the portion of the pie chart that represents education. Based on the options given, the amount allocated to education is $2,400.00. This means that out of the total budget of $7,200.00, $2,400.00 is set aside for education.

One of the major forms of migration that tends to create problem in all developing countries is that of___________

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The major form of migration that tends to create problems in developing countries is rural-urban migration. This refers to the movement of people from rural areas to urban areas in search of better economic opportunities and a higher standard of living. There are several reasons why rural-urban migration occurs. In rural areas, there may be limited job opportunities, low wages, and a lack of access to basic services such as healthcare, education, and clean water. In contrast, urban areas offer more job opportunities, higher wages, and better access to services. However, rural-urban migration can create several problems. Firstly, it can lead to overcrowding and strain on urban infrastructure, such as housing, transportation, and public services. This can result in poor living conditions for migrants and contribute to the spread of diseases. Secondly, rural-urban migration can lead to social problems such as crime, poverty, and inequality. Migrants may face discrimination and difficulty integrating into urban communities, which can exacerbate social tensions. Finally, rural-urban migration can have negative impacts on rural areas, as it can result in a loss of skilled workers and a decline in agricultural productivity. This can have serious consequences for food security and rural development. Overall, while rural-urban migration can provide benefits for migrants in terms of economic opportunities and access to services, it can also create significant challenges for both urban and rural areas.

A major determinant of the demand for a luxury good is____________?

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The expression of cost in terms of alternative forgone is referred to as ____?

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The expression of cost in terms of alternative forgone is referred to as "Opportunity cost". Opportunity cost is the cost of an alternative that must be forgone in order to pursue a certain action or decision. In other words, it is the value of the next best alternative that you have to give up in order to choose a certain option. For example, if you have $100 and you can either buy a new book or go to a concert, the opportunity cost of buying the book is the value you would have received from going to the concert (and vice versa). If you choose to buy the book, you give up the experience of going to the concert, and if you choose to go to the concert, you give up the value you would have received from the book. Opportunity cost is an important concept in decision making, economics, and business, because it helps us understand the trade-offs that we make when we make choices with limited resources. By considering the opportunity cost of different options, we can make more informed and rational decisions about how to allocate our resources.

Utility is the satisfaction derived from____________

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Utility is an economic term introduced by Daniel Bernoulli referring to the total satisfaction received from consuming a good or service.

If the price elasticity of demand for a good is 0.43 an increase in the price of the good will result in____________

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In the long run, all production factors are____________

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In the long run, all production factors are variable. This means that in the long run, a firm can adjust all of its inputs, including labor, capital, and resources, to produce the level of output it desires. Unlike the short run, where some production factors are fixed and cannot be changed, the long run allows firms to make changes to all of their inputs, such as investing in new technology or equipment, hiring or firing employees, and even moving to a new location. For example, in the short run, a bakery may only be able to increase its production by hiring more workers or working longer hours, as its oven and baking equipment are fixed. But in the long run, the bakery could invest in new, larger equipment to increase its production capacity, as well as relocate to a larger facility or even open new stores. Therefore, in the long run, all production factors can be adjusted, making them variable, while in the short run, some factors are fixed, making them less adaptable to changes in production levels.

Concentrating industries in one place is advantageous because there are gains in terms of_____________

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External economies of scale are economies of scale which a firm enjoys by virtue of being in an industry or environment where for instance, similar firms are located, as this question asks about. They are still economies of scale though, so technically B could also be correct. This is one of those tricky questions.

The study of Economics becomes necessary because of the______________

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The study of Economics becomes necessary because of the "scarcity of resources". Economics is the study of how societies use limited resources to satisfy their unlimited wants and needs. Because resources such as land, labor, and capital are limited, and human wants and needs are unlimited, there is always scarcity. Scarcity means that people have to make choices about what goods and services they will produce and consume because they cannot have everything they want. Therefore, the study of economics helps to provide a framework for making decisions about how to allocate scarce resources in the most efficient and effective way possible to maximize benefits to society. In conclusion, the study of economics becomes necessary because of the scarcity of resources, which creates the need to make choices and allocate resources efficiently to satisfy the unlimited wants and needs of society.

In a developing economy, productivity is measured by the____________

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From the table, Calculate the mean?

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Mean= ∑fx/∑f

  =(16+10+48+48+54+20+144)/(2+1+4+3+3+1+6)

  =340/20

  =17.0

By calculation, the mean of the distribution is not 18

From the table, the mean of the distribution is___________

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Mean= ∑fx/∑f

  =(4+15+8+5)/(2+5+2+1)

  =32/10

  =3.2

In a capitalist economy, factors of production are owned and controlled by the _____?

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Capitalism or free market economy may be defined as the type of economic system in which the means of production are owned and controlled by private individuals that is; it is characterized by private ownership of the means of production. In this case, the private individuals play a greater role than the government in taking decisions on what to produce, how to produce, for whom to produce and the distribution of what has been produced.

Factors affecting size of Labour Force include the following EXCEPT?

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Factors that affect the size of Labour Force include the following: Size of population of a country, official school leaving age, retirement age, pursuit of higher education, age, structure of population, role of women in the society, number of working hours and working days, the number of disabled, the number of people willing to work, migration.

In the history of economics the concept of division of labour is usually associated With______________-

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The concept of division of labor is usually associated with Adam Smith, a Scottish economist who lived in the 18th century. Smith is known as the father of modern economics and his book "The Wealth of Nations" is considered a landmark in the history of economic thought. Division of labor is the process of breaking down the production of goods or services into smaller tasks, with each worker specializing in a particular task. Smith argued that this specialization allows workers to become more efficient and productive, as they become more skilled at their specific task over time. He famously used the example of a pin factory to illustrate the benefits of division of labor, showing how the productivity of the workers could be increased by breaking down the process of pin-making into smaller, specialized tasks. Smith believed that the division of labor not only increased productivity, but also led to economic growth and prosperity. By allowing each worker to focus on their specific task, and by encouraging trade and exchange between different workers and regions, the economy as a whole could become more efficient and produce more goods and services. This, in turn, would lead to greater wealth and prosperity for society as a whole. Overall, Smith's ideas about the division of labor had a profound impact on the development of modern economics and are still widely studied and discussed today.

Which of the following is an invisible item?

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The invisible item in the list is "Banking services". In economics, visible items are tangible goods that can be physically seen and touched, while invisible items are intangible services that cannot be physically seen or touched. Petroleum services, processed rice, and processed milk are all visible items because they are tangible goods that can be seen, touched, and measured. On the other hand, banking services are intangible and cannot be physically seen or touched. Examples of banking services include providing loans, managing savings accounts, facilitating transactions, and offering financial advice. Therefore, banking services are considered an invisible item because they are intangible and cannot be physically seen or touched.

The Economic Commission for Africa was set up by the_________

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The Economic Commission for Africa (ECA) was set up by the United Nations (UN) in 1958. The ECA is one of the UN's five regional commissions and it was established to promote economic and social development in Africa. The ECA's primary objective is to provide research and policy analysis, as well as technical assistance, to African governments, with the goal of supporting their efforts to achieve sustainable and inclusive economic growth. The ECA also works to promote regional integration and cooperation among African countries, as well as to foster partnerships with other regions of the world. Therefore, the correct answer is the UNO.

The need to construct a scale of preference is necessitated by____________

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The need to construct a scale of preference is necessitated by scarcity and the need for choice. Resources are limited, but human wants and needs are unlimited. This creates a situation of scarcity, where people must make choices about how to allocate their resources to satisfy their most pressing needs and wants. A scale of preference is a tool that helps individuals to prioritize their wants and needs, so that they can make informed choices about how to allocate their limited resources. For example, imagine you have a limited amount of money to spend on groceries for the week. You have a long list of items you want to buy, but you can't afford to buy them all. By constructing a scale of preference, you can prioritize the items on your list according to how important they are to you. You might decide that buying bread, milk, and vegetables are your top priorities, while buying luxury items like chocolates and wine are lower on your list. This allows you to make the most of your limited resources and satisfy your most pressing needs first. Therefore, the need to construct a scale of preference is necessitated by scarcity and the need for choice, as it helps individuals to allocate their limited resources in a way that best satisfies their wants and needs.

Which of the following is an advantage of localization of industry?

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Localization of industries refers to the concentration of firms or industries producing similar product in one area. As major firms concentrate in one area, other subsidiary firms that assist the major firms in the production of goods usually emerge.

The reward for capital is___________

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The reward for capital refers to the return or compensation that an investor receives for providing their money as an investment in a business or project. This reward can take various forms, but some common ones are interest, rent, and dividends. Interest is a reward for lending money, and it is usually expressed as a percentage of the amount borrowed. For example, if you lend $1,000 to a company that promises to pay you 5% interest, you will receive $50 in interest payments each year. Rent is another form of reward for capital, and it is often associated with real estate. If you own a property and rent it out to tenants, you receive a regular income stream in the form of rent payments. This income can be a reward for the capital you have invested in the property. Risk is also a consideration when it comes to the reward for capital. Investments with higher risks may have the potential for higher returns, but they also have a greater chance of losing money. Therefore, investors who take on greater risk may expect a higher reward for their capital. Premium refers to an additional payment made to investors above and beyond their expected return. This may be offered to incentivize investment or to reward investors who are willing to take on greater risk or tie up their capital for a longer period of time. In summary, the reward for capital can take many forms, but it generally refers to the return that investors receive for putting their money to work in a business or investment. The specific form of the reward will depend on the type of investment and the risks involved.

The minimum number of share holders for joint stock companies is_______________

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From the diagram shown, the optional point of production is_____________?

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A group formed to enable members adopt a common policy in labour negotiation is known as?

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Employer’s association is formed to enable members to adopt a common policy in labour negotiation. A good example of employers association is that of the Nigerian Employers’ Consultative Association (NECA).

The main concern of economists is to________

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Economics seeks to study the relationship between ends and means. Ends are unlimited while the means are limited. Scarcity means resources are limited in relation to the ends. Economics therefore seek is concerned with allocating limited resources among the competing and unlimited wants.

The policy by which government encourages producers of export goods to produce and export more in order to earn more foreign exchange is called__________

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The policy by which the government encourages producers of export goods to produce and export more in order to earn more foreign exchange is called export promotion. This policy is aimed at increasing the volume and value of a country's exports, thereby increasing its foreign exchange earnings. Export promotion can take many forms, including providing financial incentives, such as subsidies and tax breaks, to producers of export goods. It can also involve providing training and support to help exporters improve their competitiveness, as well as promoting a country's exports through trade shows and other marketing initiatives. The goal of export promotion is to help a country's businesses increase their exports, create jobs, and boost the economy.

A limited liability company is owned by________________

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The privatization of public enterprises will lead to efficient management of resources in the economy. This statement can best be described as_____________

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The establishment of industries in rural areas will help to reduce____________-

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The establishment of industries in rural areas will help to reduce Urban-Rural migration. Urban-Rural migration refers to the movement of people from urban (city) areas to rural (countryside) areas in search of better living conditions, employment opportunities, and a lower cost of living. This migration often leads to overcrowding, strain on urban resources, and an increase in poverty in both urban and rural areas. When industries are established in rural areas, it creates employment opportunities for people living in those areas. This leads to an improvement in the standard of living of the local population, as they can find employment opportunities near their homes and do not need to move to urban areas. As a result, people are less likely to migrate from rural areas to urban areas in search of better opportunities, which helps to reduce Urban-Rural migration. In addition, the establishment of industries in rural areas also leads to an increase in economic activity in those areas, which stimulates local economies and creates new business opportunities. This, in turn, can lead to a reduction in poverty, an improvement in infrastructure and services, and an overall improvement in the quality of life for people living in rural areas.

In other to enhance the utility of a particular commodity, it was moved from a place where it has little utility to another area where its utility is higher. This form of utility is referred to as?

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The form of utility that refers to the enhancement of a commodity's usefulness by moving it from a place where it has little utility to another area where its utility is higher is called "place utility." For example, a bottle of water may have low utility in a store shelf where there is an abundance of water, but it would have a higher utility in a desert where water is scarce. By moving the water bottle from the store shelf to the desert, the place utility of the water bottle is increased. On the other hand, marginal utility refers to the additional satisfaction or benefit that a person derives from consuming an extra unit of a good or service, while form utility refers to the value added to a commodity by transforming it into a more useful form, such as processing raw materials into finished products. Total utility, on the other hand, refers to the overall level of satisfaction or benefit that a person derives from consuming a particular quantity of a good or service.

The following are types of capital except:___________

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The different types of capital include: Fixed capital, which are assets not used up in the course of production. Circulatory or Working capitals are assets which are used up in the process of production Eg. Raw materials, fuel etc Social capital is the assets provided by the government that aid production. Examples include electricity, water etc.

Saving capital is not a type of capital

The factor of production that has the highest degree of mobility is__________?

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The factor of production that has the highest degree of mobility is labor. Labor refers to the human effort used in the production of goods and services. It includes both physical and mental work, such as the work done by factory workers, managers, doctors, and teachers. Unlike other factors of production, such as land and capital, labor is not fixed and can move from one job or industry to another. Labor mobility is the ease with which workers can move between different jobs or locations. It is influenced by factors such as education, skills, training, and the availability of job opportunities. For example, a person with a degree in computer science can easily move from one technology company to another, and a nurse can work in a hospital or a clinic. The mobility of labor is important for the efficient functioning of the economy because it allows workers to move to industries and locations where their skills are in demand, which increases their productivity and wages. It also helps businesses to find the talent they need to grow and innovate, and it enables regions to adapt to changing economic conditions. Therefore, labor mobility is an important aspect of economic growth and development.