WAEC - Economics (2021)

• 1

  The study of economics IS Important to every society because it______ 

  Απάντηση

  (B)

  Helps in the utilization of scarce resources.
• 2

  A consumer with $10 needs a dress, a pair of shoes, a handbag and jewelry costing $20, $10, $7 and $3 respectively. The opportunity cost of buying the pair of shoes Is the________

  Απάντηση

  (C)

  Handbag and Jewelry.
• 3

  The distinguishing function of an entrepreneur is_______

  Απάντηση

  (C)

  Risk-bearing.
• 4

  When a commodity market operates without government interference, commodities are distributed through_______

  Απάντηση

  (B)

  The operation of price mechanism.
• 5

  One way of obtaining the median of a given data is to__________

  Απάντηση

  (D)

  Arrange the data in either ascending or descending order and find what item divides the set in two equal parts.
• 6

  An increase in the rice harvest, all things being equal, may cause____________

  Απάντηση

  (B)

  Price to fall substantially.
• 7

  The demand for wood and labour is an example of______

  Απάντηση

  (C)

  Derived demand
• 8

  What will be the reaction of consumers in a market if there is a fall in the price of the substitute commodity X?

  Απάντηση

  (C)

  Demand for commodity X will decrease
• 9

  An increase in market supply is caused by the following factors except_________

  Απάντηση

  (C)

  A reduction in the cost of raw materials.
• 10

  The coefficient of price elasticity of supply of land is usually____________

  Απάντηση

  (C)

  Zero
• 11

  The price of soap rose from $10 to $20 causing a trader to increase her supply from 50 to 120 boxes per week. This makes supply_________

  Απάντηση

  (C)

  Fairly elastic.
• 12

  The leftward shift in the supply curve for a commodity indicates_________

  Απάντηση

  (B)

  A decrease in supply.
• 13

  Market supply may increase if there is an increase in the________

  Απάντηση

  (A)

  Price of the product
• 14

  Government can increase farmers' incomes by__________

  Απάντηση

  (B)

  Fixing minimum prices.
• 15

  When market supply increases , the equilibrium price_________

  Απάντηση

  (B)

  Falls and quantity rises.
• 16

  The supply of mangoes is represented as P=0.3Q, where P is the price ($) and Q is the quantity. What is P when Q is 50?

  Απάντηση

  (B)

  $15.00
• 17

  The output of an extra unit of an input is referred to as________

  Απάντηση

  (B)

  Marginal product of the input
• 18

  The law of diminishing returns is applicable to the__________

  Απάντηση

  (B)

  variable factors of production.
• 19

  A firm incurred the following costs in production. Use the information in the table to answer the question below.

  Output (bags of rice	0	10	20	30	40	50	60
  Total Cost ($)	100	200	300	380	440	520	600

   

  The fixed cost of production is___________

  Απάντηση

  (A)

  $I00.
• 20

  A firm incurred the following costs in production. Use the information in the table to answer the question below.

  Output (bags of rice	0	10	20	30	40	50	60
  Total Cost ($)	100	200	300	380	440	520	600

   

  The average cost of producing 40 bags of rice is_____

  Απάντηση

  (B)

  $11
• 21

  The relationship between the marginal revenue (MR) and the average revenue(AR) of a monopolist is that the marginal revenue curve____ 

  Απάντηση

  (B)

  slopes down to the right and is below the AR curve.
• 22

  A major source of finance to the Railway Corporation in West African countries is_______

  Απάντηση

  (B)

  government subvention
• 23

  Separation of ownership of resources and their control is mostly found in a __________

  Απάντηση

  (C)

  joint stock company
• 24

  By passing the middlemen in the chain of distribution can lead to _________

  Απάντηση

  (A)

  a problem of unemployment of labour
• 25

  Two factors which can improve the efficiency of labour are_________

  Απάντηση

  (C)

  work environment and health status of workers
• 26

  The age distribution of a country's population is shown below. Use the information is answer the question below.

  Age group (YEARS)	Population
  0 - 15 16 - 40 41 - 60 Over 60	30% 45% 15% 10%

   

  What is the percentage of the working population?

   

  Απάντηση

  (B)

  60%
• 27

  The age distribution of a country's population is shown below. Use the information is answer the question below.

  Age group (YEARS)	Population
  0 - 15 16 - 40 41 - 60 Over 60	30% 45% 15% 10%

   

  What is the dependency ratio?

  Απάντηση

  (A)

  2:3
• 28

  The supply of land for agricultural purpose can be increased through _______

  Απάντηση

  (B)

  reclamation and irrigation
• 29

  Non-economic factors that influence the location of firms include ________

  Απάντηση

  (D)

  the activities of politicians in deciding location of firms
• 30

  Which of the following is not an argument for the policy of privatization in West Africa?

  Απάντηση

  (B)

  Government is able to participate and control the operation of the privatized businesses
• 31

  Use this data below to answer the question

  The following data relates to the national income of a country.
  Gross domestic product = $2800
  Net factor income from abroad = $250
  Depreciation = $700
  Indirect taxes = $120

   

  What is the country's Gross National (GNP)?

  Απάντηση

  (B)

  $ 2.680
• 32

  Use this data below to answer the question

  The following data relates to the national income of a country.
  Gross domestic product = $2800
  Net factor income from abroad = $250
  Depreciation = $700
  Indirect taxes = $120

   

  What is the country's Net National Product (NNP) at factor cost?

  Απάντηση

  (C)

  $2,230
• 33

  The standard of living in two countries can be compared using the___________

  Απάντηση

  (D)

  gross national product per head
• 34

  Government can curb inflation by_________

  Απάντηση

  (D)

  selling securities in the open market
• 35

  Functions of money does not include_______

  Απάντηση

  (D)

  general acceptability.
• 36

  Demand-pull inflation can be as a result of___________

  Απάντηση

  (C)

  deficit financing by the government.
• 37

  An increase in cash ratio by the central bank will_______

  Απάντηση

  (D)

  Reduce the supply of money.
• 38

  When a government cuts down her expenditure to reduce inflation, she has embarked on___________

  Απάντηση

  (A)

  A restrictive Fiscal policy.
• 39

  In order to enable the government of a country to increase its tax revenue, it will be advisable for it to increase taxes on_______

  Απάντηση

  (A)

  Textile materials with elastic demand
• 40

  People who dispose of their assets are expected to pay ______________

  Απάντηση

  (B)

  capital gains tax
• 41

  A floating exchange rate means that the exchange rate is fixed by the __________

  Απάντηση

  (B)

  Forces of demand and supply
• 42

  A measure that can be adopted to correct a country 's balance of payments deficit is ____________

  Απάντηση

  (C)

  Adopt import substitution strategy
• 43

  Records of a country's invisible trade are recorded in her_____________-

  Απάντηση

  (C)

  Current account
• 44

  If a country's import bill is high, she can encourage exports by___________

  Απάντηση

  (A)

  Allowing her currency to depreciate
• 45

  If a country imposes a barrier on trade, the resultant effect will be _________

  Απάντηση

  (C)

  an increase in the demand for locally produced goods