Economics Past Questions And Answers
1611
advertising expenses would not be necessary under perfect competition because
- A. consumers would have complete knowledge of goods
- B. cost of production would be at the maximum level
- C. every firm would enjoy the benefits of large scale production
- D. income of the consumers in the community would be high
1612
A firm determines its profit when it studies its?
- A. Marginal Cost
- B. Average Cost
- C. Total Cost
- D. Average Cost relative to price in the market
1613
Which of the following is the main outcome of a trade union's interference with the wage rate? Wages are
- A. lowered but more employment opportunities are created
- B. lowered but employment level remains unchanged
- C. increased and employment levels are unchanged
- D. increased but employment levels are reduced
1614
In modern economies, the Malthusian theory of population is ineffective because of
- A. birth control measures
- B. technical progress
- C. government policies
- D. natural disasters
1615
If the cross elasticity of demand between X and Y is zero, then
- A) X and Y are substitutes
- B) X and Y are complements
- C) X and Y are dependent on each other
- D) X and Y are independent of each other
1616
One disadvantage of trade by barter is that?
- A. people are happier when they exchange the same quantities of goods through the medium of money rather than by barter
- B. the person wishing to buy good X may not have good Y which is what the other wants
- C. one person must always be cheated when trade takes place by barter
- D. it increases the intial cost of producing goods
1617
Tools of monetary policy do not include
- A. open market operations
- B. reserve requirement
- C. bank rate
- D. tax and public expenditure
1618
Which of the following institutions assists the government in managing the national debt?
- A. Commercial banks
- B. The Central banks
- C. The capital market
- D. The World bank
1619
In the balance of payments of a country, tourism is classified under
- A. capital account
- B. invisible trade
- C. merchandise trade
- D. official reserves
1620
The migration of young people from rural to urban areas in Nigeria should help to raise the?
- A. standard of living in the urban areas
- B. total productivity of labour in the rural areas
- C. marginal productivity of labour in the rural areas
- D. marginal productivity of labour in the urban areas