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 311: A one-man business is controlled by Options:
  A) an active partner
  B) board of trustees
  C) board of directors
  D) dormant partner
  E) the owner
  Show Answer
  The correct answer is E.
• Question 312: A firm with a total of 54 employees produced 108 tonnes of toilet tissues in 3months. What is the average production per employee? Options:
  A) 0.02 tonnes
  B) 0.2 tonnes
  C) 2 tonnes
  D) 20 tonnes
  E) 200 tonnes
  Show Answer
  The correct answer is C.
• Question 313: The disposable income of Uche increases by N10 million and her marginal propensity to consume also goes up to 0.6 how much of the additional income will she save? Options:
  A) N40,000
  B) N400,000
  C) N600,000
  D) N4,000,000
  E) N6,000,000
  Show Answer
  The correct answer is D.
• Question 314: All the following are the objectives of economic planning EXCEPT to Options:
  A) reduce the rate of inflation and achieve stable value for the naira
  B) encourage inflow of public and private capital
  C) evolve a sequential political transition and enthronement of popular government
  D) reduce economic dependence on foreign nations
  E) achieve full employment
  Show Answer
  The correct answer is C.
• Question 315: The main differences between money market and capital market is that money markets Options:
  A) acts as advisers to investor while capital markets teleguides
  B) are owned by individuals, while capital markets are owned by government
  C) accepts collateral, while capital markets does not accept such
  D) accepts funds while capital markets disburse fun to investors
  E) provide short term loans, while capital markets provide long-term loans
  Show Answer
  The correct answer is E.
• Question 316: Which of the following is NOT a function of the wholesaler in the distributive channel? Options:
  A) Bulk breaking
  B) Direct contact with end users
  C) Feedback information to manufacturers
  D) Public relations and advertising of products
  E) Storage facilities for finished products
  Show Answer
  The correct answer is B.
• Question 317: A business organization set up for the mutual benefits of member with similar interest is known as Options:
  A) cooperative society
  B) partnership
  C) private limited company
  D) public corporation
  E) public limited company
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  The correct answer is A.
• Question 318: A development planning which takes a long range view of the economy and covers a period of 10-20 years is regarded as Options:
  A) comprehensive planning
  B) indicative planning
  C) perspective planning
  D) regional planning
  E) sectors planning
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  The correct answer is A.
• Question 319: When Elasticity of Demand is greater than one, the demand is Options:
  A) perfectly elastic
  B) unitary elastic
  C) zero elastic
  D) inelastic
  E) elastic
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  The correct answer is E.
• Question 320: The desire to hold cash balances in order to meet expenditures which arises due to unforeseen circumstances is Options:
  A) motive
  B) aim
  C) determination
  D) self discipline
  E) none of the above
  Show Answer
  The correct answer is A.