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 301: Demand for labour depends on the following factors EXCEPT Options:
  A) number of industries/enterprises
  B) nature of industries/business enterprises
  C) price of labour
  D) demand for labour output and prices
  E) the period of training
  Show Answer
  The correct answer is E.
• Question 302: The main industrial cities in Nigeria are Options:
  A) Ikeja, Kano, Onitsha and Port-Harcourt
  B) Kaduna, Dutse, Ogbomoso a Calabar
  C) Kano, Ilesa, Vadeikya and Afikpo
  D) Maiduguri, Ikote Ekiti, Moniya and Akungba
  E) Mokwa, Ijebu-ode, Warri and Gummel
  Show Answer
  The correct answer is A.
• Question 303: The basic economics problem of what to produce arises as a result of Options:
  A) competing demands for scarce resources
  B) excessive supply
  C) the availability of too many experts
  D) the failure of the price system
  E) the reduction of poverty
  Show Answer
  The correct answer is A.
• Question 304: In international trade, when payments of a country are higher than the receipts, then the balance of payment is Options:
  A) favourable
  B) in equilibrium
  C) perfect
  D) unfavourable
  E) uniform
  Show Answer
  The correct answer is D.
• Question 305: Points outside the production possibility curves shows Options:
  A) unequal allocation of resources among factors
  B) capital production level
  C) under utilization of resources
  D) unattainable production level
  E) effective consummation of resources
  Show Answer
  The correct answer is D.
• Question 306: Which of the following factors will NOT affect supply of maize in Nigeria? Options:
  A) Extension services to farmers
  B) Improve technology
  C) Price of maize
  D) Quantity of wheat produced
  E) Weather and climatic condition
  Show Answer
  The correct answer is D.
• Question 307: The unit of satisfaction dived from the consumption of an additional unit of a commodity is known as Options:
  A) average utility
  B) marginal cost
  C) marginal product
  D) marginal utility
  E) total utility
  Show Answer
  The correct answer is D.
• Question 308: Which of the following is NOT a problem of population census in Nigeria? Options:
  A) inadequate transportation
  B) High birth rate
  C) High cost
  D) Mass illiteracy
  E) Political interest
  Show Answer
  The correct answer is E.
• Question 309: A negative effect of the discovery of petroleum on the Nigerian economy is Options:
  A) conversion of the economy into a mono product type
  B) development of infrastructures
  C) encouragement of international recognition
  D) provision of job opportunities
  E) rapid industrialization
  Show Answer
  The correct answer is A.
• Question 310: An inflation which occurs as a result of increase in production cost is known as Options:
  A) cost-push inflation
  B) creeping inflation
  C) demand-pull inflation
  D) hyper-inflation
  E) runaway inflation
  Show Answer
  The correct answer is A.