Correct Answer: A. demand is relatively price elastic

Explanation

Price elasticity is a measure of the responsiveness of demand or supply of a good or service to changes in price. The price elasticity of demand measures the ratio of the proportionate change in quantity demanded to the proportionate change of the price .

Correct Answer: D. at its maximum

Correct Answer: C. reduce money supply in the economy

Explanation

By buying treasury bills, the Central Bank of Nigeria intends to reduce the excess money in circulation in the economy. When the CBN issue treasury bills, they are inviting the public to invest in the debt security. This means, people will buy the security for a maturity period of 0-3 months. By doing this, the available money held by househoulds is reduced. It is also used to control inflation.

Explanation

(i) To inject efficiency into the management of government owned businesses.

(ii) To redirect resources from businesses to other pressing areas of the economy

(iii) To attract foreign investment

(iv) To minimize wastage and corruption

(v) To attract foreign technology and expertise.

(vi) To foster rapid economic development

(vii) To raise the general standard of living through sale of shares to small investors.

(viii) To generate employment opportunities

(ix) To generate additional government revenue.

Correct Answer: A) economic growth and structural change

Explanation

This question is asking about the difference between economic growth and economic development. Economic growth refers to an increase in the production of goods and services in a country, while economic development refers to a broader concept that includes social and economic progress.

The correct option is Option A, which states that economic development deals with economic growth and structural change. Structural change refers to a shift in the composition of an economy, such as a move from agriculture to manufacturing or services. Economic development also includes improvements in living standards, human development, and social welfare.

Option B, economic growth, and output change, is not a comprehensive enough definition of economic development as it only focuses on the increase in output. Option C, economic growth, and GDP change, is similar to Option B and does not include the broader concept of social and economic progress. Option D, economic growth, and income change, is also too narrow as it only focuses on changes in income without considering other factors such as structural change and social welfare.

In summary, economic development is a broader concept than economic growth, encompassing improvements in social welfare, human development, and structural change, while economic growth refers to an increase in the production of goods and services in a country.

Correct Answer: B. trade fluctuations

Explanation

Cyclical unemployment is unemployment that results when the overall demand for goods and services in an economy cannot support full employment. Cyclical unemployment is when workers lose their jobs because of downturns in the business cycle.

Correct Answer: D) legal tender

Explanation

This question is asking about money that a government requires to be accepted as payment for debts. The options given are commodity money, currency value, barter, and legal tender.

Commodity money is a type of money that has intrinsic value, meaning it has value on its own, such as gold or silver coins. Currency value refers to the exchange rate of a country's currency compared to other currencies. Barter is a system of trading goods and services without using money.

The correct answer is option D, legal tender. Legal tender is money that the government has declared as acceptable for payment of debts, including taxes and other financial obligations. This means that if someone owes money to the government, they can pay with legal tender and the government must accept it as payment. Legal tender can be in the form of paper money, coins, or electronic payments.

It is important to note that legal tender does not necessarily have intrinsic value like commodity money. Its value is derived from the government's declaration that it is acceptable for payment of debts.

In summary, legal tender is money that a government requires to be accepted as payment of debts. This includes paper money, coins, and electronic payments. It is different from commodity money, currency value, and barter.

Correct Answer: C) inelastic demand

Explanation

This question is asking about how changes in price affect the quantity of a commodity that people want to buy. When the price of a commodity goes down, it usually means that people will want to buy more of it. This question is asking about how much more.

The question gives us some numbers to work with. It tells us that the price of the commodity went down by 100%, which means that the price was cut in half (since 100% of something is the whole thing). It also tells us that the quantity demanded of the commodity went up by 50%.

To figure out what kind of demand this represents, we need to use the concept of elasticity. Elasticity refers to how much the quantity demanded of a commodity changes in response to changes in price. If the quantity demanded changes a lot when the price changes a little, then we say that demand is elastic. If the quantity demanded changes only a little when the price changes a lot, then we say that demand is inelastic.

In this case, we know that the price changed a lot (it went down by 100%) and the quantity demanded changed a little (it went up by 50%). This means that demand is inelastic, since the quantity demanded did not change very much in response to the price change.

Therefore, the correct answer to this question is Option C: inelastic demand.

Correct Answer: B. in composite supply

Explanation

When the process of making one thing results in a second product as well, that second thing is called a byproduct. Example The production of computer systems, require a software to function, hence would be jointly supplied. Composite Supply is one where 2 or more goods or services are supplied together.

Correct Answer: C. Large-scale export of locally made abroad