Economics Exam Past Questions and Answers | JAMB, WAEC and NECO

Economics is the study of how societies allocate limited resources to meet the unlimited needs and wants of individuals. It focuses on the production of goods and services, economic growth, and various complex issues that are important to society.

• Question 1:

  An example of a market which approaches fairly near to perfection is____________

  Options:
  A) the retail market
  B) the house market
  C) the labour market
  D) the foreign exchange market
  Show Answer
  The correct answer is D .
• Question 2: Using Expenditure Approach to estimate National Income, Y is equal to Options:
  A) C + l + G + X – M + P - V
  B) C + l + G + X – M + P
  C) C + l + G – X + P
  D) C – 1 + G + X – M + P
  E) C + l – G + X – M – P
  Show Answer
  The correct answer is D .
• Question 3: The basic relationship between the cost of production, and the market price of any commodity in the short run is that the market price? Options:
  A) always reflects the cost of labour
  B) reflects the variable, but not the fixed cost of production
  C) does not rise above variable costs
  D) is determined by the cost of production and the current rate of inflation
  Show Answer
  The correct answer is B .
• Question 4: When a business has unlimited liability Options:
  A) all its profits can be taxed away by the government
  B) all its assets are owned by the members of its board of directors
  C) the business ceases to exist at the death of one of its owners
  D) the owners are responsible for all its financial debts
  E) the owners are not responsible for all its financial debts
  Show Answer
  The correct answer is D .
• Question 5: Which of the following will be the effect of allowing only economic factors to dedicate the location of industries in Nigeria? Options:
  A) A more even development of the different parts of the country will be assured
  B) There will be an unbalanced spread in the distribution of industries
  C) The less developed parts of the country will be able to attract more industries
  D) Only the government will be able to finance the establishment of industries
  Show Answer
  The correct answer is B .
• Question 6: The exports-promotion strategy is aimed at producing Options:
  A) consumer goods originally imported
  B) machinery for industries
  C) more goods for exports
  D) more goods domestic consumption
  Show Answer
  The correct answer is C .
• Question 7: An entrepreneur will continue to employ labour up to a point where? Options:
  A) costs are minimized
  B) maximized efficiency is attained
  C) wages are equal to marginal product of labour
  D) marginal product of labour is equal to zero
  Show Answer
  The correct answer is C .
• Question 8: Which of the following BEST describes the production function? Options:
  A) it indicates best output to produce
  B) it relates naira inputs to naira output
  C) it relates physical outputs to physical inputs
  D) it indicates the best way to combine factors to produce given output
  Show Answer
  The correct answer is C .
• Question 9: The commercial banks differ from non-bank financial institutions because they Options:
  A) Accept deposits withdrawable by cheque
  B) Mobilize savings
  C) Invest surplus funds
  D) Contribute to economic development
  Show Answer
  The correct answer is A .
• Question 10: Total revenue is always equal to? Options:
  A) marginal revenue multiplied by the quantity sold
  B) average revenue plus marginal revenue
  C) marginal revenue multiplied by marginal cost
  D) average revenue multiplied by the quantity sold
  Show Answer
  The correct answer is D .