JAMB UTME - Economics - 1985 | Green Bridge CBT

Question 1 Report

One main quality of a good is that it

is sold in the market

satisfies wants Correct answer

is made in the factory

is always tangible

is non-perishable

Answer Details

Read lesson note on Theory Of Consumer Behaviour (WAEC)

Read lesson note on The Theory Of Demand (JAMB)

Read lesson note on Demand (WAEC)

Theory Of Consumer Behaviour

The Theory Of Demand

Demand

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Question 2 Report

Limited liability means?

the debts of a company can only be paid from its own assets

Correct answer

the debts of a company are paid from business as well as private funds of the owners

government cannot tax the company

the debts of a company must be paid from private funds only

the company does not have to pay its debts

Answer Details

Read lesson note on Business Organizations (WAEC)

Read lesson note on Financial Institutions (WAEC)

Business Organizations

Financial Institutions

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Question 3 Report

Tax which is levied on goods manufactured, sold or used within a country is?

sales tax

excise tax Correct answer

direct tax

income tax

poll tax

Answer Details

Read lesson note on Economic Systems (JAMB)

Economic Systems

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Question 4 Report

The argument of tariff protection in less developed economies is that such a measure would

raise the price of goods affected abroad

make consumers pay a higher price for the domestically produced output

protect young industries from ruinous competition from abroad Correct answer

help reduced excess capacity in domestic industries

stifle private investment intiatives

Answer Details

Read lesson note on International Trade (JAMB)

Read lesson note on Economics As A Science (JAMB)

International Trade

Economics As A Science

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Question 5 Report

Bisi needs a book costing N10.00 and a hat costing N10.00. If Bisi buys the book instead of the hat, the opportunity cost of his choice is the?

cost of the bok

cost of the hat Correct answer

book

hat

N10.00

Answer Details

Read lesson note on Economics As A Science (JAMB)

Economics As A Science

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Question 6 Report

Under perfect competition, the long-run equilibrium requires?

MR = MC

MR = AC = AR

MR > MC

MR = MC = AR = AC Correct answer

AR = AC

Answer Details

Read lesson note on The Theory Of Production (JAMB)

Read lesson note on Theory Of Price Determination (WAEC)

The Theory Of Production

Theory Of Price Determination

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Question 7 Report

An economic problem exists whenever

there is scacity and choice Correct answer

here are no buyers for our goods

there are too many sellers

many people are out of work

all raw materials are imported

Answer Details

Read lesson note on Economics As A Science (JAMB)

Economics As A Science

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Question 8 Report

In the table, the marginal cost when output is two, units is

16.00

20.00

36.00 Correct answer

40.00

48.00

Answer Details

Read lesson note on The Theory Of Production (JAMB)

Read lesson note on Theory Of Costs (JAMB)

The Theory Of Production

Theory Of Costs

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Question 9 Report

The unemployment associated with a recession is called?

voluntary

frictonal

cyclical Correct answer

structural

maximum

Answer Details

Read lesson note on Public Finance (WAEC)

Read lesson note on Population And Labour Market (WAEC)

Public Finance

Population And Labour Market

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Question 10 Report

The purchasing power of the naira will fall when?

the naira is devalued

government cuts all salaries and wages

there is inflation Correct answer

the colour of the naira is changed

workers are retrenched

Answer Details

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Question 11 Report

By terms of trade, we mean the?

ratio of exports and imports

differences between exports and imports

differences between current account and capital account

index of export prices to import prices expressed as a percentage

Correct answer

ratio of short-term capital movements to long-term capital movements

Answer Details

Terms of trade (TOT) refers to the relative price of imports in terms of exports and is defined as the ratio of export prices to import prices. It can be interpreted as the amount of import goods an economy can purchase per unit of export goods.

Read lesson note on International Trade (JAMB)

International Trade

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Question 12 Report

When total revenue is at a maximum, marginal revenue is?

constant

negative

zero Correct answer

positive

maximum

Answer Details

Read lesson note on Theory Of Consumer Behaviour (WAEC)

Read lesson note on Theory Of Price Determination (WAEC)

Read lesson note on Theory Of Costs (JAMB)

Read lesson note on Theory Of Production (WAEC)

Read lesson note on The Theory Of Demand (JAMB)

Theory Of Consumer Behaviour

Theory Of Price Determination

Theory Of Costs

Theory Of Production

The Theory Of Demand

View Answer

Question 13 Report

In the figure above, the broken line labelled M is the marginal revenue curve of a

Monopoly Correct answer

Competitive firm

State corporation

Partnership

Monophony

Answer Details

Read lesson note on Economics As A Science (JAMB)

Read lesson note on Industry And Industrialization (JAMB)

Economics As A Science

Industry And Industrialization

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Question 14 Report

Which of the following is NOT a feature of underdevelopment?

Low per capita income

Vicious circle of poverty

Low level of industrialization

Greater dependence on primary production

High per capita income Correct answer

Answer Details

Read lesson note on Economic Growth And Development (JAMB)

Economic Growth And Development

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Question 15 Report

Under the ECOWAS agreement, a Nigerian can enter and stay in Ghana without visa for a period of?

14 days

30 days

60 days

90 days Correct answer

100 days

Answer Details

Read lesson note on International Trade And Balance Of Payments (WAEC)

International Trade And Balance Of Payments

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Question 16 Report

How many National Development Plans did Nigeria have between 1960 and 1984?

One

Two

Four Correct answer

Five

Six

Answer Details

Read lesson note on Economic Development And Planning (WAEC)

Economic Development And Planning

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Question 17 Report

Optimum population is desirable because it enables an economy to obtain maximum?

per capita income Correct answer

per capital output

per capita real income

per capital revenue

growth rate

Answer Details

Read lesson note on Population And Labour Market (WAEC)

Read lesson note on Population (JAMB)

Population And Labour Market

Population

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Question 18 Report

At every point on a indifference curve, the

total utility is decreasing

prices of all goods are constant

consumer is satiated

level of utility is constant Correct answer

level of utility is increasing

Answer Details

Read lesson note on Theory Of Consumer Behaviour (WAEC)

Read lesson note on The Theory Of Demand (JAMB)

Theory Of Consumer Behaviour

The Theory Of Demand

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Question 19 Report

One of the functions of the commercial banks is that it is?

responsible for monetary policy

responsible for issuing currency notes

the lender of last resort

the banker of the government

a banker of demand and time deposits of customers Correct answer

Answer Details

Read lesson note on Banking (JAMB)

Banking

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Question 20 Report

A state budget is an outline of planned

expenditures and revenues expected within a financial year Correct answer

expenditures of ministries and parastatals within a given period

recurrent and capital expenditures within a year

sources of revenues derivationn for a financial year

use of different kinds of taxation in a given year

Answer Details

Read lesson note on Public Finance (WAEC)

Read lesson note on Financial Institutions (WAEC)

Public Finance

Financial Institutions

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Question 21 Report

In market economies, resources are allocated through the?

government authorities

price system Correct answer

banking system

central planning bureau

revenue allocation formula

Answer Details

View Answer

Question 22 Report

Which of the following is NOT among the canons of taxation as set out by Adam Smith?

Equality

Security Correct answer

Certainty

Convenience

Economy

Answer Details

Read lesson note on Economics As A Science (JAMB)

Economics As A Science

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Question 23 Report

Under normal circumstances a producer will bear the entire burden of taxation on his output if the?

demand for his product is completely elastic Correct answer

supply of his goods is more elastic than the demand

demand for his product is more elastic than the supply

production of his commodities is subject to diminishing returns

production of his commodities is subject to increase returns to scale

Answer Details

Read lesson note on The Theory Of Supply (JAMB)

Read lesson note on The Theory Of Demand (JAMB)

The Theory Of Supply

The Theory Of Demand

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Question 24 Report

If in the short-run commodity X and commodity Y are supplied jointly, which of the following is correct?

An increase in demand for X will increase the supply of Y

Correct answer

An increase in demand for X will shift the supply of Y

An increase in demand for Y will raise the price of X

An increase in demand for X will cause less of Y to be produced

A probable tax on Y will cause more of X to be supplied

Answer Details

Read lesson note on The Theory Of Supply (JAMB)

Read lesson note on Theory Of Production (WAEC)

The Theory Of Supply

Theory Of Production

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Question 25 Report

When a business has unlimited liability

all its profits can be taxed away by the government

all its assets are owned by the members of its board of directors

the business ceases to exist at the death of one of its owners

the owners are responsible for all its financial debts Correct answer

the owners are not responsible for all its financial debts

Answer Details

Read lesson note on Factors Of Production And Their Theories (JAMB)

Read lesson note on Business Organizations (JAMB)

Factors Of Production And Their Theories

Business Organizations

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Question 26 Report

Warehousing facilities in the distribution and marketing of products are provided by?

manufacturers

wholesalers Correct answer

retailers

consumers

sellers

Answer Details

Read lesson note on Business Organizations (WAEC)

Read lesson note on Distributive Trade (WAEC)

Business Organizations

Distributive Trade

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Question 27 Report

Because money serves as a standard for deferred payments

it serves as a store of value

goods can be bought on credit with pre-determined value

Correct answer

future trade becomes possible

it serves as a unit of account

it becomes valuable

Answer Details

Read lesson note on Money And Inflation (WAEC)

Read lesson note on The Theory Of Consumer Behaviour (JAMB)

Money And Inflation

The Theory Of Consumer Behaviour

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Question 28 Report

The table above illustrates the law of

diminishing marginal utility Correct answer

diminishing marginal productivity

diminishing returns

increasing returns

increasing total utility

Answer Details

Read lesson note on The Theory Of Demand (JAMB)

The Theory Of Demand

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Question 29 Report

Devaluation of the naira as a condition for the international Monetary Fund 'loan' is considered inadvisable because?

it would allowed for more money to be spent on luxuries

the interest rate on the loan will increase

it would decrease the demand for Nigeria's exports

it would worsen Nigeria foreign exchange situation Correct answer

Nigerias oil would sell less in the world market

Answer Details

Read lesson note on International Trade (JAMB)

Read lesson note on Market Structure (JAMB)

Read lesson note on Agriculture In Nigeria (JAMB)

International Trade

Market Structure

Agriculture In Nigeria

View Answer

Question 30 Report

The act of combining factor inputs in order to obtain specific output is known as

factor procurement

manufacturing

investment

industrialization

production Correct answer

Answer Details

Read lesson note on The Theory Of Production (JAMB)

Read lesson note on Theory Of Production (WAEC)

The Theory Of Production

Theory Of Production

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Question 31 Report

The meaning of scale of preference is?

preparing a list of goods and services to be purchased in order of priority Correct answer

showing the monthly income

budget preparation without due regard to proper proirities

consumers' preference for luxury goods

consumers preference for foreugn goods

Answer Details

Read lesson note on The Theory Of Demand (JAMB)

Read lesson note on Economics As A Science (JAMB)

The Theory Of Demand

Economics As A Science

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Question 32 Report

Which of the following is NOT a part of the fixed costs of a limited liability company?

Interest on loans

Rent on buildings

Depreciation reserves

Management expenditure

Wages

Correct answer

Answer Details

Read lesson note on Theory Of Costs (JAMB)

Theory Of Costs

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Question 33 Report

If monopoly is attempting to maximize profit which of the following should it attempt to do?

Select that output at which ATC is at minimum

Set price equal to TC

Maximize profit per unit

Maximize revenue

Equate marginal cost to marginal revnue Correct answer

Answer Details

Read lesson note on Theory Of Production (WAEC)

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

Read lesson note on Demand (WAEC)

Theory Of Production

The Theory Of Price Determination

Demand

View Answer

Question 34 Report

Foreign exchange control in Nigeria is administered by the?

United Bank for Africa

Union Bank of Nigeria

First Bank Of Nigeria

Central Bank of Nigeria Correct answer

Natonal Bank of Nigeria

Answer Details

Read lesson note on Banking (JAMB)

Banking

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Question 35 Report

Which of the following factors is mostly responsible for the concentration of population around the oil fields in Eastern Nigeria?

Establishement of industries

presence of mineral deposits Correct answer

Transportation facilities

Favourable soils

Favourable climate conditions

Answer Details

Read lesson note on Industrialization (WAEC)

Read lesson note on Agriculture (WAEC)

Read lesson note on Petroleum And The Nigerian Economy (JAMB)

Industrialization

Agriculture

Petroleum And The Nigerian Economy

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Question 36 Report

If an economy grows at an annual rate of 6%, of which is deemed to be due to improvement in the productivity of labour and capital combined, the remaining 2% is generally attributed to

technical progress

size of the population

amount of natural resources

Correct answer

the environment

the quality of human resources

Answer Details

Read lesson note on Economic Growth And Development (JAMB)

Economic Growth And Development

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Question 37 Report

Disguised unemployment

exist when manpower is not being utilized efficiently Correct answer

calls for the implementation of five plans

can be eliminated if the press is free

can be eliminated if the capital output ratio is increased

is a statistical artifact with no economic meaning

Answer Details

Read lesson note on Methods And Tools Of Economic Analysis (JAMB)

Read lesson note on Factors Of Production And Their Theories (JAMB)

Read lesson note on Economic Systems (JAMB)

Methods And Tools Of Economic Analysis

Factors Of Production And Their Theories

Economic Systems

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Question 38 Report

The amount of labour a producer hires relative to labour factor inputs depends on the?

price of labour or it wage

price of labour, machinery and other inputs Correct answer

price of machinery

price of the other inputs

type of machinery

Answer Details

Read lesson note on Distributive Trade (WAEC)

Read lesson note on Factors Of Production (WAEC)

Distributive Trade

Factors Of Production

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Question 39 Report

The table illustrates the law of diminishing returns on a farm. Which pair of the following answers is appropriate for the missing information in the spaces market X and Y?

X = 20, Y = 6

X = 38, Y =9

X = 46, Y = 9 Correct answer

X = 46, Y = 14

X = 10, Y = 10

Answer Details

Read lesson note on The Theory Of Production (JAMB)

Read lesson note on Theory Of Costs (JAMB)

The Theory Of Production

Theory Of Costs

View Answer

Question 40 Report

The interdependence between households and business enterprises illustrated in the figure is known as

Market interaction

Cash flow

Circular flow of income

Correct answer

Supply and demand for goods and services

Household preference schedule

Answer Details

Read lesson note on Definition And Scope Of Economics (WAEC)

Read lesson note on Supply (WAEC)

Read lesson note on Demand (WAEC)

Read lesson note on Industry And Industrialization (JAMB)

Definition And Scope Of Economics

Supply

Demand

Industry And Industrialization

View Answer

Question 41 Report

One theory of population contends that population tends to increase much faster than the supply of food, and that if the growth in population is not checked , it will be checked by natural forces like misery disasters and food shortages. This theory was propounded by?

Prof. Paul Samuelson

Adam Smith

David Ricardo

Rev. Thomas Malthus Correct answer

Prof. Ojetuuji Aboyade

Answer Details

View Answer

Question 42 Report

The inefficient distribution of scarce commodities in Nigeria is mostly due to the?

inefficiency in the middlemen

inefficiency in the production process

long chain of the distribution system

Correct answer

sovereignty of the consumers

ineffectiveness of retailers

Answer Details

Read lesson note on Distributive Trade (WAEC)

Read lesson note on Economics As A Science (JAMB)

Distributive Trade

Economics As A Science

View Answer

Question 43 Report

The process by which a country attempts to reduce the import of manufactured goods at home is described as?

export-promotion

import-substitution Correct answer

industrialization

export-diversification

import-creation

Answer Details

Read lesson note on International Trade (JAMB)

Read lesson note on Types And Basic Features Of Economic Systems (WAEC)

International Trade

Types And Basic Features Of Economic Systems

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Question 44 Report

Which of the following is a necessary prerequisite for trade by barter?

Needs for double coincidence of wants Correct answer

Multiple exchange rate

Impossibility of future trade

Impossibility of large scale production

Indivisibility of commodities

Answer Details

Read lesson note on Theory Of Price Determination (WAEC)

Read lesson note on Economics As A Science (JAMB)

Theory Of Price Determination

Economics As A Science

View Answer

Question 45 Report

An example of a regressive tax is?

the personal income tax

the graduated corporation income tax

a general sales tax Correct answer

the inheritance tax

the excise tax

Answer Details

Examples of regressive taxes include sales taxes, user fees and, arguably, property taxes.

Read lesson note on Economics As A Science (JAMB)

Economics As A Science

View Answer

Question 46 Report

Study the figure above. At paint H the price elasticity of supply is

Perfectly inelastic

Inelastic

Unit elastic

Correct answer

Perfectly elastic

Elastic

Answer Details

Read lesson note on The Theory Of Supply (JAMB)

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

The Theory Of Supply

The Theory Of Price Determination

View Answer

Question 47 Report

A firm is said to be a public Joint Stock Company when it?

is owned by the government

is operated as a public corporation

is operated in a non-democratic fashion

sells shares to members of the public and publishes its account Correct answer

is a limited liability company

Answer Details

Read lesson note on Business Organizations (WAEC)

Business Organizations

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Question 48 Report

The age distribution of a population is NOT influenced by?

brith rates

death rates

patterns of immigration

patterns of emmigration

school leaving age Correct answer

Answer Details

Read lesson note on Population And Labour Market (WAEC)

Read lesson note on Population (JAMB)

Population And Labour Market

Population

View Answer

Question 49 Report

A corporation can obtain funds by issuing bonds. A bond is a form of debt which falls due to repayment after?

6 months

9 mnths

2 years

5 years

10 or more years Correct answer

Answer Details

Read lesson note on Public Finance (JAMB)

Read lesson note on Banking (JAMB)

Public Finance

Banking

View Answer

Question 50 Report

The petro- chemical industries are located in the River State of Nigeria due to?

favourable climate

favourable soil

oil deposits Correct answer

palm oil products

coal deposit

Answer Details

Read lesson note on Petroleum And The Nigerian Economy (JAMB)

Petroleum And The Nigerian Economy

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