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 1491: Comparative cost doctrine of international trade means specialization in production Options:
  A) according to absolute cost advantage
  B) according to absolute cost disadvantage
  C) according to comparative cost disadvantage
  D) according to comparative cost advantage
  E) on the basis of the availability of labour
  Show Answer
  The correct answer is D .
• Question 1492:

  

  Commodities I and II are

  Options:
  A) competitive supply
  B) Substitute supply
  C) Joint supply
  D) Derived supply
  Show Answer
  The correct answer is B .
• Question 1493: The law of diminishing marginal utility states: Options:
  A) The supply curve slopes downward
  B) Your utility grows at a slower and slower rate as you consume more and more unit of a good.
  C) The elasticity of demand is infinite
  D) None of the above
  Show Answer
  The correct answer is B .
• Question 1494:

  A contractionary monetary policy is used to control__________

  Options:
  A) Deflation
  B) Inflation
  C) Recession
  D) Balance of Payment deficit
  Show Answer
  The correct answer is B .
• Question 1495: An economy in which both the public and the private sectors contribute substantially to the growth of output is? Options:
  A) a socialist economy
  B) a capitalist economy
  C) a mixed economy
  D) an industrial economy
  E) a peasant economy
  Show Answer
  The correct answer is C .
• Question 1496: Disequilibrium in the balance of payment means? Options:
  A) imports of the country exceeding its exports
  B) overall deficit or surplus in the current account and capital account of the balance of payment
  C) capital flowing out of the country exceeds the capital flowing into the country
  D) deficit in the trade balance
  E) export earnings exceeds cost of imports
  Show Answer
  The correct answer is B .
• Question 1497: Industries that can be randomly located are characterized by? Options:
  A) relatively low transport cost for both raw materials and output and factor mobility
  B) relatively heavy transport cost for raw material or output
  C) constant returns to scale
  D) signficant economy of scale
  Show Answer
  The correct answer is A .
• Question 1498: Which of the following is NOT a reason for the absence of an industry in the rural areas? Options:
  A) Absence of financial institution
  B) restricted market
  C) inadequate power and water supply
  D) inadequate transportation
  E) presence of external economies
  Show Answer
  The correct answer is A .
• Question 1499: The unemployment associated with a recession is called? Options:
  A) voluntary
  B) frictonal
  C) cyclical
  D) structural
  E) maximum
  Show Answer
  The correct answer is C .
• Question 1500: The following are types of monopolies EXCEPT Options:
  A) cartels
  B) holding companies
  C) syndicates
  D) thrifts
  E) trusts
  Show Answer
  The correct answer is D .