JAMB Economics 1988 past questions

In its simplified form, the circular flow of income concept refers to the

Ufuoma is a consumer. His scale of preference shows that he prefers a pair of shoes to a wrist watch; he prefers the wrist watch to a pair of trousers; he prefers the pair of trousers tot he pair of shoes. This means that Ufuoma is

Air is essential to life but commands no price! Diamond is not essential to life but commands a high price! This is the paradox of

The average product of labour in a given period is obtained by dividing the

Developments outside a given firm which reduce the firm costs are called

Which of the following BEST describes the products function"

P X Capital Y Q Labour A textile firm operates a plant in the North (where capital is expensive relative to labour) as well as a plant in the South (where labour is expensive relative to capital). In the diagram above, the Southern plant will minimize cost by combining labour and capital in the amounts indicated by

The Law of Diminishing Returns begins to operate when

The assumption of profit maximization implies that profits

Total fixed cost measures the cost of

The output at which total revenue equals total cost is known as

The demand and supply equations for a commodity are given respectively as D = 20 -1/2P S = 8 - 1/4P Recalling that at equilibrium, D = S, the equilibrium price (P) and quantity (Q) can be obtained as

If all goods were free a rational consumer would consume

Which of the following changes in equilibrium price and quantity is as a result of an upward shift in the market demand for a commodity?

One factor which influences the slope of a non-linear demand curve for a commodity is the

S P N R T O Q Quantity [PAGE 21] If in the demand-supply diagram above the quantity supplied is OQ, then

Total revenue is always equal to

If prices fall in a perfectly competitive industry, the firms in that industry, in the short run will

Which of the following is TRUE at the quantity of output where Average Cost (AC) per unit has reached its minimum level?

In the short run, the monopolistic competitor

The additional revenue obtained by using one more until of a factor is called

In a public company, entrepreneurial functions are performed by the

The most important limitations on the partnership as a form of business enterprises is the

Under partnership, investors who have no desires to be actively involved in the day-to-day management of such organisations, are called

Localization of industries refers to the

Restriction on credit creation by commercial banks can be effected through

Which of the following factors enhances the ability of commercial bank to create money?

In any economy, what is used as money is determined by

The rate at which money changes hands is known as the

Merchant banks perform all the following functions EXCEPT

Which of the following is a direct tax? [PAGE 22]

Which of the following is a direct tax?

When a nation is experiencing balance of payments surplus, it is in a better position to

Which of the following is a good example of invisible item on balance of payments account?

Deficit financing is mostly facilitated by the existence of

The Malthusian theory of population predicts that growth in food production will

If aggregate income is N500.00 and aggregate consumption is N400.00, this means that the average propensity to consume is

Which of the following items is subtracted when computing Gross National Product at factor cost, by the expenditure method?

In estimating the national income of a country, the three approaches usually adopted are the

The most threatening problem for the less developed countries is

Collectivism refers to the system of management of state enterprises in a

The group of unemployed members of a community who are physically handicapped or disabled, is generally classfied under unemployment as.