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 901: In a textile factory, the cost of cotton used is a typical example of Options:
  A) an average cost
  B) a variable cost
  C) a fixed cost
  D) a total cost
  Show Answer
  The correct answer is B .
• Question 902: The long-run average cost curve is called a planning curve because it shows what happens to costs when Options:
  A) a bigger size of plant is built
  B) differents sizes of plants are built
  C) variable inputs are increased
  D) fixed factors are increased
  Show Answer
  The correct answer is B .
• Question 903: If a monopolist is incurring short-run losses, this means that his Options:
  A) selling price is above the short-run marginal cost
  B) selling price is below the short-run marginal cost
  C) average revenue is greater than marginal revenue
  D) average reveune is less than marginal revenue
  Show Answer
  The correct answer is B .
• Question 904: The concept of privatization presupposes? Options:
  A) efficiency
  B) marketing trade
  C) indigenization
  D) foreign trade
  Show Answer
  The correct answer is A .
• Question 905: A firm will experience diseconomies of scale when Options:
  A) there are difficulties in coordinating production
  B) there is shortage in labour supply
  C) the size of market is small
  D) there is an increase in the price of raw materials
  Show Answer
  The correct answer is A .
• Question 906: A country's terms of trade can be improved by ____? Options:
  A) collective bargaining
  B) imposing lower export duties
  C) revelation of currency
  D) reducing demand for imported goods
  Show Answer
  The correct answer is B .
• Question 907:

  A country with over-valued currency will

  Options:
  A) expect balance of payments surplus
  B) have increased demand for the exports
  C) increase her foreign reserve
  D) decrease her foreign reserve
  Show Answer
  The correct answer is D .
• Question 908:

  The oil boom between 1970 - 1980 caused the oil sector to become____________

  Options:
  A) the main source of government
  B) management of spillage and pollution
  C) protection to the local operators in the petroleum industry
  D) decrease in the rate of inflation
  Show Answer
  The correct answer is A .
• Question 909: In a free market economy, available resources are more efficiently allocated by complete reliance on? Options:
  A) development planning
  B) strategic planning
  C) capital budgeting
  D) price system
  Show Answer
  The correct answer is D .
• Question 910: The profit of a monopolist can be eliminated where price equals Options:
  A) AFC
  B) MC
  C) AC
  D) AVC
  Show Answer
  The correct answer is B .