JAMB - Economics (2006)
1
If the marginal propensity to consume is 0.6 and consumption expenditure changes by N10 million, the equilibrium level of income will change by
2
Personal income tax as a source of government revenue is increased when the
3
In computing national income, transfers are excluded because
Answer(D)
they are not payments for productive activities
4
The major role of NDIC is to
5
When the federal government guarantees a loan for a state government, such a loan constitutes
6
One way of controlling deflation is by
7
If the Central Bank of Nigeria reduces the bank rate, this will cause
8
The main source of government revenue in Nigeria is
9
The Revenue Mobilization, Allocation and Fiscal Commission in Nigeria has the primary responsibility for
Answer(C)
evolving an acceptable revenue-sharing formula
10
The burden of a government tax on a commodity whose demand is inelastic will
Answer(B)
fall more heavily on consumers
11
An important determinant of price elasticity of demand is
12
The range of the data 14,13,15,18,20,35 and 13 is
13
If the marginal utility of good X exceeds that of good Y, this implies that
Answer(B)
consuming more of X will increase total utility
14
A commodity will be demanded only if
15
Derived demand is normally used with reference to
Answer(D)
the factors of production
16
A straight line indifference curve indicates that the two products are
17
Given that demand and price remain unchanged an outward shift of the supply curve will lead to
18
A distribution is said to be positively skewed if it
Answer(B)
has a long tail to the right
19
A decision on input combination solves the economic problem of
20
Choice involves opportunity cost because
Answer(B)
available resources are inadequate
21
A characteristic common to partnership and sole proprietorship is
22
Nigeria's exports usually comprise
23
Economic growth can be accelerated through
Answer(D)
increased current investment
24
An association formed by a group of individuals solely for the marketing of their product is a
Answer(C)
producer cooperative society
25
The exchange rate determined by market forces is known as
26
Import substitution policy is used to
Answer(C)
correct the balance of payments problem
27
The organization whose aim is to solve the trade problems of less developed nations is
28
Mobility of labour is higher when there
Answer(C)
are alternative jobs in the same location
29
A major advantage of industrialization is that it
Answer(C)
leads to growth and development
30
The oil-producing area in Nigeria are agitating for special compensation owing mainly to
31
If children and the aged dominate the population of a country, this results in
Answer(A)
a reduction in the importation of capital goods
32
A major factor militating against rapid industrialization in Nigeria is
33
Minimum wage legislation will result in
34
The term 'oil shock' is used to describe a situation in which
Answer(B)
oil prices have fallen drastically
35
The major problem of conducing a census in Nigeria is
36
The marginal productivity theory applies in a
Answer(B)
perfectly competitive market
37
A rising short-run average cost is a result of
38
The only factor of production that plays an active role in the production process is
39
The market structure in which there is interdependence of price-output policies is
40
If the short-run cost curve of a firm is U-shaped, the marginal and average cost are equal where the
41
A perfectly competitive firm is advised to close down when the
Answer(D)
price is below the average variable cost
42
Product differentiation in monopolistic competition implies that
Answer(D)
the same product is available in different forms
43
If the price per unit is N2, what is the average revenue when 6 men are employed?
44
The diagram above shows the effect of
Answer(A)
excess demand over supply at q3
45
A movement from K to M will
Answer(C)
increase the consumer's utility
