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 551: Which of the following is TRUE at the quantity of output where Average Cost (AC) per unit has reached its minimum level? Options:
  A) AVC=FC
  B) MC=AVC
  C) MC=AC
  D) AC=AFC
  Show Answer
  The correct answer is C .
• Question 552: Which of the following is applicable in a wholly capitalist economy? Options:
  A) There is government intervention in price determination
  B) Consumer sovereignty does not exist
  C) The price mechanism allocates resources
  D) Households cannot freely decide what to spend on goods and services
  Show Answer
  The correct answer is C .
• Question 553: Which of the following is mostly used to determine the cost of living? Options:
  A) Marginal changes in prices
  B) Consumer price index
  C) Prices of imported and exported commodities
  D) producer price index
  Show Answer
  The correct answer is B .
• Question 554: One method through which the Central Bank can restrict the commercial banks' power of credit expansion is to? Options:
  A) demand for increased special deposit
  B) decrease the cash ratio
  C) buy securities in the open market
  D) reduce the rate of interests at which banks borrow from it
  Show Answer
  The correct answer is A .
• Question 555: A tax system in which the rich pays a higher percentage income as tax than the poor is known as Options:
  A) capital gains tax
  B) progressive taxation
  C) proportional taxation
  D) regressive taxation
  E) sales tax
  Show Answer
  The correct answer is B .
• Question 556: The demand curve of a perfect competitive market is infinitely elastic indicating that the firm can Options:
  A) refuse to sell any quantity
  B) sell any quantity of output at the prevailing price
  C) sell fixed quantity of output at the prevailing market price
  D) sell less quantity
  E) sell more quantity at a higher price
  Show Answer
  The correct answer is B .
• Question 557:

  The privatization of public enterprises will lead to efficient management of resources in the economy. This statement can best be described as_____________

  Options:
  A) deductive reasoning
  B) positive reasoning
  C) normative reasoning
  D) inductive reasoning
  Show Answer
  The correct answer is D .
• Question 558: During the era of barter, money was generally in the form of Options:
  A) notes
  B) precious metals
  C) coins
  D) commodities
  Show Answer
  The correct answer is D .
• Question 559: Bank consolidation policy in Nigeria is a measure to increase Options:
  A) the capital base of banks
  B) employment opportunities in banks
  C) the number of shareholders
  D) the number of branches
  Show Answer
  The correct answer is A .
• Question 560: A firm determines its profit when it studies its? Options:
  A) Marginal Cost
  B) Average Cost
  C) Total Cost
  D) Average Cost relative to price in the market
  Show Answer
  The correct answer is D .