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 1361: When the demand for a good increases owing to an increase in income, it means that Options:
  A) there is an increase in quantity demanded
  B) inflation has taken place
  C) demand has exceeded supply
  D) there is an increase in demand
  Show Answer
  The correct answer is D .
• Question 1362:

  External economies arises essentially from__________

  Options:
  A) a firm's individual policies
  B) localisation of industry
  C) government economic policy
  D) free transferability of shares
  Show Answer
  The correct answer is B .
• Question 1363:

  Which of the following is an example of expansionary monetary policy by the Central Bank of Nigeria?

  Options:
  A) Lowering income taxes
  B) Increasing the discount rate
  C) Increasing the reserve ratio
  D) Buying Treasury securities from commercial banks
  Show Answer
  The correct answer is D .
• Question 1364: In production, total cost comprises of Options:
  A) averages cost and marginal cost
  B) variable cost and averages cost
  C) variable cost and fixed cost
  D) marginal cost and variable cost
  E) fixed cost and averages cost
  Show Answer
  The correct answer is C .
• Question 1365: The short-run average variable cost of a firm will rise owing to Options:
  A) the expansion of factory space
  B) the building of new warehouse
  C) an increase in the cost of labour
  D) an increase in the salaries of directors
  Show Answer
  The correct answer is C .
• Question 1366: If the same basket of goods which cost N12.00 in 1985 cost N15.00 in 1987, price index for 1987 is? Options:
  A) 25
  B) 80
  C) 100
  D) 125
  Show Answer
  The correct answer is D .
• Question 1367: An example of a long-run cost of a firm is Options:
  A) fuel and maintenace cost
  B) the planned size of plant equipment
  C) the existing size of plant and equipment
  D) rent on buildings
  Show Answer
  The correct answer is D .
• Question 1368: In the long run, a firm in a perfectly competitive market will make? Options:
  A) normal profit
  B) adnormal profit
  C) marginal profit
  D) no profit
  Show Answer
  The correct answer is A .
• Question 1369: If MPC = 2/3 and investment is N100 million, the level of national income is Options:
  A) N100 million
  B) N10 million
  C) N303 million
  D) N300 million
  Show Answer
  The correct answer is D .
• Question 1370:

  An economic system in which individual control the productive resources is known as

  Options:
  A) capitalism
  B) communism
  C) freedomism
  D) socialism
  E) welfarism
  Show Answer
  The correct answer is A .