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 451: One disadvantage of sole proprietorship is its? Options:
  A) limited libility
  B) high profits
  C) high sense of ownership
  D) low credit rating
  E) low failure rate
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  The correct answer is D .
• Question 452: When a union is composed of workers with the same skill,it is termed Options:
  A) a technical union
  B) a craft union
  C) an industrial union
  D) a workers' union
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  The correct answer is B .
• Question 453: In its simplified form, the circular flow of income concept refers to the? Options:
  A) real flow in goods and services between the product and factor markets
  B) monetary payment for goods and services produced by individual firms
  C) transactions in goods and services and payment for such transactions between individual firms and households.
  D) money flows associated with transactions between individual firms and households
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  The correct answer is C .
• Question 454: In the circular flow of income, an increase in savings causes Options:
  A) an increase in imports
  B) a decrease in the income stream
  C) an increase in household consumption
  D) a decrease in exports
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  The correct answer is B .
• Question 455: Taxes which are levied on a person’s expenditures are known as? Options:
  A) Purchase tax
  B) Sales tax
  C) Direct tax
  D) Poll tax
  E) Income tax
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  The correct answer is A .
• Question 456: A situation in which all inputs are doubled and output also doubles is known as? Options:
  A) constant proportions
  B) constant returns
  C) increasing returns to scale
  D) constant returns to scale
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  The correct answer is D .
• Question 457: In the long run, the equilibrium point of a monoplistic firm is a point where the Options:
  A) marginal cost curve is tangential to the average fixed cost curve
  B) demand curve is tangential to the average variable cost curve
  C) supply cuvre is tangential to the marginal cost curve
  D) demand curv is tangential to the average cost curve
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  The correct answer is B .
• Question 458: Average cost is Options:
  A) the total cost of production
  B) the extra cost of producing one additional unit of output
  C) cost of producing a unit of output
  D) variable cost
  E) overhead cost
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  The correct answer is C .
• Question 459: Full employment is a situation in which? Options:
  A) every adult is employed
  B) all adults who can work are employed
  C) all person who attained the age of 15 and above are employed
  D) only the disabled are not employed
  E) all those who are able and eligible can find employment
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  The correct answer is E .
• Question 460: If children and the aged dominate the population of a country, this results in Options:
  A) a reduction in the importation of capital goods
  B) a fall in the standard of living
  C) an increase in the national income
  D) an improvement in the standard of living
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  The correct answer is A .