NECO Economics Exam Past Questions and Answers

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 261: An industry engaged in the extraction of raw materials and its conversion into semi-finished goods is called industry. Options:
  A) construction
  B) conversion
  C) manufacturing
  D) mining
  E) processing
  Show Answer
  The correct answer is C.
• Question 262: If two bags of rice were sold for N1,250 a mouth ago and two weeks later, the same amount was used to procure one bag. This simply means that the value of money is Options:
  A) constant
  B) decreasing
  C) fluctuating
  D) increasing
  E) proportional
  Show Answer
  The correct answer is B.
• Question 263: The following are the objectives of agricultural policies in Nigeria EXCEPT Options:
  A) provision of food
  B) provision of agricultural raw materials to industrial sectors
  C) increasing prices of agricultural Inputs
  D) creation of rural employment
  Show Answer
  The correct answer is C.
• Question 264: Stock exchange market deals with Options:
  A) exchange of commodities
  B) exchange of stock fish for stock
  C) exchange of treasury bills
  D) sales of foreign exchange
  E) sales of second hand securities
  Show Answer
  The correct answer is E.
• Question 265: The following can be used to improve a country’s balance of payment EXCEPT Options:
  A) anti-dumping policies
  B) decreasing taxation on personal income
  C) granting subsidies to export producers
  D) increasing import duties
  E) removing export duties
  Show Answer
  The correct answer is B.
• Question 266: Which of the following is NOT a function of marketing boards in Nigeria? Options:
  A) Fixing of prices for farm produce
  B) Grading of farm produce
  C) Importation of farm produce
  D) Marketing of farm produce
  E) Price stabilization
  Show Answer
  The correct answer is C.
• Question 267: The trade-off between two commodities along the Production Possibility Curve (PPC) shows Options:
  A) opportunity cost principle
  B) scarcity principle
  C) transferable output
  D) unattainable combination
  E) under utilization of resources
  Show Answer
  The correct answer is D.
• Question 268: Economic problem arises as a result of Options:
  A) choice
  B) money cost
  C) opportunity cost
  D) scarcity
  E) scale of preference
  Show Answer
  The correct answer is D.
• Question 269: When an increase in the price of a commodity lead to a fall In the demand for aNOTher, the demand for the two commodities are said to be Options:
  A) abnormal
  B) competitive
  C) composite
  D) derived
  E) joint
  Show Answer
  The correct answer is E.
• Question 270: If the standard deviation of a set of numbers is 3.6, what is the variance? Options:
  A) 12.49
  B) 12.69
  C) 12.9
  D) 12.96
  E) 12.98
  Show Answer
  The correct answer is D.