If a government wants to reduce the level of inflation, it will?

• A. run a budget surplus
• B. run a budget deficit
• C. run a balanced budget
• D. borrow more money

The balance of visible trade is the difference between the values of?`

• A. imported and exported goods
• B. imported and exported services
• C. current account and capital account
• D. exchange rate of local and foreign currencies

If a country's national income increased from N1000 billion over a period of 2 years, what was the average annual rate of growth of national income over the period?

• A. 5%
• B. 15%
• C. 20%
• D. 100%

Economically, underdeveloped countries are characterized by?

• A. high rate of population growth and low rate of economic growth
• B. high rate of economic growth and low rate of population growth
• C. high rate of population growth aand high rate of economic growth
• D. low rate of population growth and low rate of economic growth

Which of the following statements best describes the relationship between average product and marginal products?

• A. Marginal product and average product curves rise and falls together
• B. Marginal product equals average product at the minimum point of the latter
• C. Average product curve will rise as product is greater than average product
• D. Marginal product at the maximum point of the fomer

A fall in the marginal propensity to save will lead to?

• A. a decrease in national income
• B. an increase in national income
• C. no change in national income
• D. an increase in disposable income

In certain circumstances, a centrally planned economy adopts the rationing system because of?

• A. the scarcity of goods and services in the market
• B. low real and money wages
• C. the need for equitable distribution of goods and services
• D. transportation and distribution problems

Which of the following is a transfer payment?

• A. Dividend to a shareholder
• B. Gift to a mothers less babies' home
• C. Salary to a worker
• D. Rent to a landlord

If the reserve requirement for commercial banking in Nigeria were 30%, a commercial bank which receives an initial cash deposit of N3000 is in a position to lend out?

• A. N9,000
• B. N3,330
• C. N2,770
• D. N2,100

Population Statistics of a Country. The dependency ratio between 1960 and 1990 is

• A. increased by 5%
• B. increased by 2%
• C. decrease by 2%
• D. decrease by 5%