JAMB - Economics (2015)

• 1

  The law of variable proportions is also known as

  回答

  (B)

  law of diminishing returns
• 2

  All the following are problems identified with agriculture in West Africa except

  回答

  (D)

  provision of food for the teeming population
• 3

  Revenue can be expressed as

  回答

  (C)

  total money realized from sales
• 4

  All the following are factors that would bring about a change in supply except

  回答

  (C)

  Entry of new firms
• 5

  The combination of two commodities each yielding the same level of satisfaction to the consumer is

  回答

  (B)

  indifference curve
• 6

  In which situation is it likely that the demand for labour would be inelastic?

  回答

  (B)

  Labour costs are only a small proportion of total costs
• 7

  The headquarter of the Organization Of Petroleum Exporting Countries (OPEC) is in

  回答

  (D)

  Vienna, Austria
• 8

  What will increase the likelihood that the firms in an industry will conclude to maximize their joint profit?

  回答

  (D)

  There are significant barriers to prevent firms entering the market
• 9

  A commercial bank can create money by

  回答

  (D)

  lending to borrowers
• 10

  The source of all economic problems arises from

  回答

  (B)

  Scarcity
• 11

  The quantity theory of money states that a reduction in the quantity of money in circulation would bring about

  回答

  (A)

  A constant change in price
• 12

  The tax levied on locally produced goods is

  回答

  (B)

  excise duty
• 13

  \(\begin{array}{c|c}
  \text{Capital consumption allowance} & \text{N20,000} \\
  \hline
  \text{Gross domestic production} & \text{N60,000} \\
  \hline
  \text{Factor payment to foreigners} & \text{N10,000} \\
  \hline
  \text{Factor income from abroad} & \text{N15,000} \\
  \end{array}\)
  
  From the above table, calculate the Gross National Product.

  回答

  (B)

  N75,000
• 14

  Petroleum has the following positive contributions to the Nigerian economy except

  回答

  (C)

  development of mono economy
• 15

  The market in which the operators are many and none of them can influence the price is

  回答

  (C)

  perfect market
• 16

  The concentration of industries in a particular geographical area is

  回答

  (A)

  localization of industries
• 17

  \(\begin{array}{c|c}
  \text{Units of quantity} & \text{Total utility} & \text{Marginal utility} \\
  \hline
  0 & - & - \\
  \hline
  1 & 10 & 10 \\
  \hline
  2 & 15 & 5 \\
  \hline
  3 & 17 & 2 \\
  \hline
  4 & 18 & 1 \\
  \hline
  5 & 18 & 0 \\
  \end{array}\)
  
  
  The table illustrate the law of

  回答

  (C)

  diminishing marginal utility
• 18

  All the following are the canons of taxation given by Adam Smith except

  回答

  (A)

  objective
• 19

  Census can be classified as

  回答

  (A)

  defacto and dejure
• 20

  A firm that charges the maximum price without attracting competition from new entrants is

  回答

  (C)

  Monopolistic firm
• 21

  A monopolist has the power to influence the prices of goods and services. Therefore, he is a

  回答

  (A)

  price maker
• 22

  Which of the following business units can issue shares?

  回答

  (B)

  Public limited liability company
• 23

  Which of the following are examples of transfer payment

  回答

  (A)

  gift and donations
• 24

  The technical relationship between the physical inputs and the physical outputs of a firm is

  回答

  (D)

  Production function
• 25

  The income elasticity of demand of normal goods is

  回答

  (B)

  positive
• 26

  The following equations relate to an open economy with a government sector. E = aggregate expenditure on domestically produced goods, C = Consumption, I = Investment, G = Government expenditure, T = taxes, M = imports, X = Exports. Which equation is correct

  回答

  (C)

  E = C + I + G + X – M
• 27

  \(\begin{array}{c|c}
  \text{Units of labour} & \text{Fixed capital} & \text{Total product} & \text{Average product} & \text{Marginal product} \\
  \hline
  0 & 10 & - & - & - \\
  \hline
  1 & 10 & 10 & 10 & 10 \\
  \hline
  2 & 10 & 25 & ? & 15 \\
  \hline
  3 & 10 & 50 & 16.7 & 25 \\
  \hline
  4 & 10 & 80 & 20.0 & 30 \\
  \hline
  5 & 10 & 106 & 21.2 & 26 \\
  \end{array}\)
  
  Calculate the average product when the 2nd labour was employed 12.5

  回答

  (A)

  12.5
• 28

  The relationship between the cost of living and standard of living is

  回答

  (B)

  A lower cost of living give a higher standard of living
• 29

  The ordinalist approach of utility postulated that utility can be

  回答

  (A)

  Rank
• 30

  The frequent value that occurs most in a data is

  回答

  (C)

  mode
• 31

  Mr. Patrick’s income is N900 while that of Mr. Shodawe is N1,300. if Mr. Patrick and Shodawe pay N90 and N130 as taxes, the tax system is

  回答

  (D)

  Proportional
• 32

  Which of the following is not a type of unemployment

  回答

  (A)

  factory unemployment
• 33

  \(\begin{array}{c|c}
  \text{Units of variable factor} & \text{Total
  Product} \\
  \hline
  1 & 25 \\
  \hline
  2 & 31 \\
  \hline
  3 & 40 \\
  \hline
  4 & 48 \\
  \hline
  5 & 55 \\
  \end{array}\)
  
  
  
  The marginal product at the fifth variable factor is

  回答

  (A)

  7
• 34

  The financial institution known as a building society is

  回答

  (C)

  mortgage bank
• 35

  A line in commodity space which shows the constraints imposed by his budget, his money income and the price of goods purchased is

  回答

  (C)

  Budget line
• 36

  The information that rank a consumer preferences is given by

  回答

  (A)

  Scale of preference
• 37

  The ownership of a public limited liability company is made up of

  回答

  (C)

  minimum of seven and no maximum number
• 38

  All the following are types of specialization except

  回答

  (A)

  Manager Specialization
• 39

  A market will be at equilibrium when

  回答

  (A)

  demand and supply are equal
• 40

  Which of the following will shift the demand curve for Bournvita to the right

  回答

  (B)

  an increase in income
• 41

  Find the range in the following data 9, 15, 6, 20, 24, 18, 12, 8, 20, 10, 5.

  回答

  (C)

  19
• 42

  All the following are properties of an indifference curves except

  回答

  (A)

  it can intersect
• 43

  Isocost and isoquant can be attributed to

  回答

  (C)

  Theory of production
• 44

  

  The line Y in the diagram represents

  回答

  (C)

  fixed cost
• 45

  

  The curve labeled II illustrates a system of taxation

  回答

  (A)

  proportional tax
• 46

  

  The curve labeled III illustrate a system of taxation

  回答

  (A)

  regressive tax
• 47

  What would be likely to increase inflation in any economy?

  回答

  (A)

  Increase in demand
• 48

  The term of trade can be expressed as

  回答

  (C)

  (Price index of export ÷ Price index of import)× 100
• 49

  The income of an individual increases from N150 to N250 and his consumption rate increases from N100 to N150. Calculate the Marginal Propensity to Consume

  回答

  (D)

  0.5
• 50

  The study of broad economic aggregates is

  回答

  (A)

  Macro economics
• 51

  Disposable income is total income

  回答

  (A)

  less tax
• 52

  In which of the following economic systems do we have the means of production and exchange controlled by private individuals

  回答

  (C)

  capitalist system
• 53

  The situation whereby the government of a country spends more than its budgets for a given financial year is known as

  回答

  (B)

  deficit budget
• 54

  The total stock of money available for use in an economy is

  回答

  (A)

  supply of money
• 55

  What does the accelerator principles state?

  回答

  (C)

  Investment is a function of the rate of change of income
• 56

  A major limiting factor of mass production is

  回答

  (C)

  small size of the market
• 57

  When elasticity is zero, demand curve is

  回答

  (B)

  perfectly inelastic
• 58

  In a situation where Mux represent the marginal utility of product X while Px represent the price respectively. Utility can be maximized when

  回答

  (B)

  MUX = PX
• 59

  Which of the following could be used to measure the efficiency of labour?

  回答

  (B)

  input-output ratio
• 60

  How can a firm benefit from external economies?

  回答

  (C)

  Locating in an area in which the industry is already established
• 61

  A smaller industry that grows to cater for the need of the major industry is

  回答

  (A)

  subsidiary industry
• 62

  

  In the diagram, the consumer budget line shift from JK to GH. What can definitely be deduced from the diagram?

  回答

  (B)

  There has been a reduction in the price of both A and B
• 63

  What would encourage the growth of international division of labour?

  回答

  (A)

  Improvement in transport system
• 64

  The demand and supply functions of commodity x are given as follows: Qd = 20- 2p, Qs = 6p - 12 where p = price, Qd = quantity demanded and Qs = quantity supplied. Determine the equilibrium price

  回答

  (A)

  N4
• 65

  The practice of selling goods overseas and often below the cost of production is known as

  回答

  (B)

  dumping