Favorable terms of trade is important to a country because it facilities?

• A. economic prosperity for importers and exporters
• B. export of hard currency by the government
• C. economic prosperity for country
• D. import of hard currency by the government

Discuss five contributions made by agriculture to the industrial development of Nigeria.

Government revenue will increase if taxes are levied on goods with?

• A. perfectly elastic demand
• B. fairly elastic demand
• C. perfectly inelastic demand
• D. unitary elastic demand

If an economy grows at an annual rate of 5% of which 3% is deemed to be due to improvement in the productivity of labour and capital combined the remaining 2% is generally attributed to?

• A. the size of population
• B. technical progress
• C. the environment
• D. the amount of natural resources

Which of the following factors will not underestimate the national income?

• A. Rapid decrease in prices
• B. Increased subsistence production
• C. Practice of specialization of labour
• D. Increase in value of services not paid for

A firm faces diminishing returns when its?

• A. total output diminishes
• B. average output diminishes
• C. marginal output diminishes
• D. marginal revenue diminishes

The flow labelled Y refers to

• A. real income
• B. factor payment
• C. factor input
• D. national income

An increase in the price of a commodity will result in

• A. a decrease in the quantity demanded
• B. an increase in demand
• C. an increase in quantity demanded
• D. a decrease in demand

Balance of trade is the difference between?

• A. exports and imports of goods and services
• B. capital inflows and capital outflows
• C. visible and invisible balances
• D. exports and imports of goods

A capital market differs from the money market in that in the former?

• A. loan sought is short term
• B. loan reayment is guaranteed
• C. loan sought is long term
• D. the percentage of interest chargedis more