Economics Past Questions And Answers
1011
Which of the following constitute the major components of money supply in a development economy?
- A. Demand deposits
- B. Paper money
- C. Bank drafts
- D. Coins
1012
Gains from trade depends on?
- A. comparative advantage
- B. absolute advantage
- C. distributive cost advantage
- D. absolute cost advantage
1013
The action of government to forgo road construction in order to provide more health facilities denotes
- A. sound economic decision
- B. opportunity cost
- C. practicable government policy
- D. scale of preference
1014
Agricultural productivity may be increased if
- A. educational institutions are established in rural areas
- B. commercial banks are established in rural areas
- C. more infrastructural facilities are provided in rural areas
- D. labour intensive method of agriculture is encouraged
1015
Exchange control is a weapon used in regulating
- A. barter trade
- B. stock exchange
- C. foreign trade
- D. internal trade
1016
A consumer maximizes his utility in consuming a good 'X' when
- A. Mux = Px
- B. Px > Mux
- C. price is falling
- D. Mux > Px
1017
Money becomes a very poor store money becomes a very poor stone of value in a period of
- A. deflation
- B. stable prices
- C. recession
- D. inflation
1018
A large standard deviation is an indication of
- A. the size of the sample
- B. a wide spread around the mean
- C. a wide difference between the mean and the mode
- D. the difference between the highest and the lowest values
1019
The major reason for the survival of small shops despite competition from large business enterprises is because of?
- A. the small capital outlay involved
- B. regularity and constant supply of commodities by them
- C. their local srvices and longer hours of operation
- D. their level of managerial competence
1020
The movement of curve I to ll suggests
- A. an improvement in capital goods technology but not in consumer goods technology
- B. a movement from unemployment to full employment
- C. that the output for the society has declined
- D. a gain in consumer goods technique and not in capital goods technique