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 1501: A form of business organization which is characterized by limited authority and liability of individual owners is the? Options:
  A) sole proprietorship
  B) partnership
  C) joint stock company
  D) co-operative society
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  The correct answer is C .
• Question 1502: When interest rates are high and still rising the least-cost method used by public limited companies to obtain additional funds for their operations is by? Options:
  A) obtaining life-term loans from merchant banks
  B) obtain short-term loans from commercial banks
  C) selling floating-rate debenture stocks to the general public
  D) selling new ordinary shares to the general public
  Show Answer
  The correct answer is D .
• Question 1503: If the active population is 50 million and unemployed is 5 million what is the unemployment rate? Options:
  A) 10%
  B) 45%
  C) 55%
  D) 90%
  Show Answer
  The correct answer is A .
• Question 1504:

  Increasing national income without effective control of population size in a country can lead to

  Options:
  A) higher per capita income
  B) increase in poverty
  C) increased outflow of aid
  D) underutilization of resources
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  The correct answer is D .
• Question 1505: Import substitution policy is used to Options:
  A) protect local industries
  B) check government expenditure
  C) correct the balance of payments problem
  D) encourage increased volume of trade
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  The correct answer is C .
• Question 1506: In a normal (typical) demand schedule, the quantity demand is? Options:
  A) directly related to price
  B) inversely related to price
  C) independent of price
  D) proportional related to supply
  E) solely dependent on haggling skill
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  The correct answer is B .
• Question 1507:

  If government in a fiscal year has its revenue receipts less than the expenditure, such country is having

  Options:
  A) balanced budget
  B) deficit budget
  C) favorable budget
  D) surplus budget
  E) unfavorable budget
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  The correct answer is B .
• Question 1508:

  The use of legally permissible means to reduce tax liabilities is known as tax?

  Options:
  A) evasion
  B) avoidance
  C) relief
  D) exemption
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  The correct answer is C .
• Question 1509:

  

  The interdependence between households and business enterprises illustrated in the figure is known as

  Options:
  A) Market interaction
  B) Cash flow
  C) Circular flow of income
  D) Supply and demand for goods and services
  E) Household preference schedule
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  The correct answer is C .
• Question 1510:

  Which of the following factors is not a cause of diminishing returns?

  Options:
  A) Increase in variable inputs
  B) Land fragmentation
  C) Constant technology
  D) Technological innovations
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  The correct answer is D .