PAPER TYPE: TYPE U
1. Which question paper type of Economics is given to you?
A. Type B
B. Type I
C. Type B
D. Type U
2. An economy in which both the public and private sectors contribute to economic growth is as
A. feudal economy
B. capitalist economy
C. socialist economy
D. mixed economy
3. If the standard deviation of a given data is 53, what is the variance?
4. Which of the following set of statistical tools is used for further economic analysis?
A. the median and standard deviation
B. the mean and mode
C. the mean and standard deviation
D. the mode and median
5. An advantage of the range as a measure of dispersion is that it __.
A. can be used to calculate open-ended distribution
B. make use of all values of observations in a distribution
C. takes all values into consideration
D. is useful for further statistical calculation
6. Find the median of the following set of data 35, 10, 14, 38, 15, 18, 22, 30 and
7. An increase in demand without a corresponding change in supply will lead to __.
A. a decrease in equilibrium price and increase in equilibrium quantity
B. an increase in equilibrium price and quantity
C. a decrease in equilibrium price and quantity
D. an increase in equilibrium price and a decrease in equilibrium quantity
8. 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
9. If the price of a bicycle changes from ₦120 to ₦80 and quantity bought changes from 300 to 500 units, the elasticity of demand for bicycle is __.
10. From the graph above, the price elasticity of demand is __.
A. unitarily elastic
B. perfectly elastic
C. perfectly inelastic
D. fairly inelastic
11. One of the assumptions of the cardinalist approach is
A. diminishing marginal rate of substitution
B. the consistency and transitivity of choice
C. that total utility depends on the quantity of the commodities consumed
D. unstable marginal utility of money
12. Utility is the satisfaction derived from the __.
A. distribution of goods and services
B. use of goods and services
C. demand of goods and services
D. production of goods and services
13. From the indifference curve above, consumer will prefer combination __.
14. One of the major factors that brings about changes in supply is __.
A. market discrimination
B. availability of storage facilities
C. the cost of storage
D. incentives granted to workers
15. If P = 1/4(Qs + 10). What is the quantity supplied at ₦14?
16. If the supply of a product is elastic, a small reduction in price will __.
A. reduce the cost of production
B. reduce the quantity supplied
C. increase the quantity supplied
D. lead to no change in the quantity supplied
17. The supply of beverages by firms in a monopolistic market is an example of __.
A. derived demand
B. competitive supply
C. composite supply
D. joint demand
18. If the price of a commodity is fixed below equilibrium, this will lead to __.
A. excess demand
B. a decrease in price
C. an increase in price
D. excess supply
19. One of the criticisms of the price mechanism is that __.
A. producers are sovereign
B. it provides low degree of freedom
C. it widens the inequitable gap
D. consumers are sovereign
20. In Nigeria, government can reduce the cost of accommodation by fixing rent __.
A. at the prevailing rate
B. at the equilibrium price
C. above the equilibrium price
D. below the equilibrium price
21. If a refinery achieves a reduction in cost by purchasing and transporting crude oil in large quantities, it enjoys __.
A. economies of scale
C. division of labour
D. diseconomies of scale
22. An isoquant lying above to the right of another represents __.
A. a higher output level
B. constant returns to scale
C. over-capacity utilization
D. a lower output level
23. From the graph above, R represents __.
A. marginal cost
B. total cost
C. variable cost
D. fixed cost
Use the graph below to answer question 24 and 25.
24. The optimum level of output of the firm is __.
25. The total revenue of the firm is represented by __.
26. A measure of national income used as comparison of standard of living among nations is __.
A. net national product
B. gross domestic product
C. gross national product
D. per capita income
27. The speculative demand for money is inversely related to the __.
A. interest rate
B. level of income
C. exchange rate
D. inflation rate
28. If Mr. K obtains a ₦50.000 loan from a bank for the purpose of providing household needs, the demand for money is said to be __.
C. precautionary and speculative
D. transactional and speculative
29. Which of the following is used by the Central Bank of Nigeria to control inflation?
A. Tariff on imports
B. Tax rate
C. Exchange rate
D. Discount rate
30. If CBN reduces money supply, the interest rate will __.
D. remain unchanged
31. An example of an expansionary fiscal policy action is __.
A. decrease in the corporate profit tax rates
B. decrease in welfare payments
C. purchase of government securities
D. decrease in the bank rate
32. A tax on land will ultimately fall __.
A. partly on agents and users
B. entirely on users
C. entirely on owners
D. partly on users and owners
33. One of the goals of development plans in Nigeria is to __.
A. increase the profitability of multinational businesses
B. improve the country's GDP
C. achieve higher standard of living for the citizens
D. deregulate the economy
34. Life insurance companies contribute to economic development by holding a part of their assets in __.
A. long-term financial instruments
B. money market instruments
C. cash and near money
D. short-term financial instruments
35. In order to add value to Nigeria agricultural produce, there is need to __.
A. cultivate high breed crops
B. process them into finished goods
C. adopt modern storage methods
D. advertise them in European markets
36. The main reason for low agricultural produce in west Africa is need to __.
A. the presence of large-scale agro-allied industries
B. high dependency ratio
C. over dependence on agriculture for subsistence
D. the use of crude implements in farming process
37. The most important determinant for the location of a brick industry is the availability of __.
B. power supply
D. raw materials
38. In Nigeria, efficiency in public corporations can be achieved through __.
A. public offer
39. Government participation in the oil industry was necessitated by the __.
A. annual increase in production
B. formation of OPEC
C. high demand for crude oil
D. huge investment outlay
40. The deregulation of the petroleum sector in Nigeria will bring about __.
A. efficiency in pricing and distribution of the products
B. an end to the importation of fuel
C. an end to foreign firms' dominance
D. fixing appropriate production quotas
41. A distinguishing characteristic of consumer co-operative society is that the __.
A. the maximum number of shareholders is 20
B. members are the owners
C. members are the workers
D. the minimum number of shareholders is 5
42. A major disadvantage of partnership business is __.
A. difficulty in the transfer of shares
B. distrust among members
C. limited liability
D. large capital outlay
43. The quality of labour force in Nigeria can be improved by __.
A. establishing more tertiary institutions
B. creating sufficient job opportunities
C. encouraging the study of science and technology
D. establishing more skills acquisition centres
44. The effect of emigration on a country's population is __.
A. decrease in the population
B. decrease in job opportunities
C. increase in population
D. increase in dependency ratio
45. A measure for preventing the external value of the naira from falling is for the government to __.
A. increase its spending with foreign reserve
B. sell its own currency
C. reduce interest rate
D. buy its currency with foreign reserve
46. A fiscal policy instrument that can influence the demand pattern in an economy is __.
A. government spending
B. interest rate
C. income tax
47. One of the main achievements of the __.
Economic Commission for Africa is
A. eliminating trade restrictions among states
B. encouraging transport and communication development
C. guaranteeing a steady flow of foreign investment into Africa
D. providing the machinery for collaboration on monetary issues
48. The rate of interest change on loans depends largely on __.
A. the prevailing exchange rate
B. marginal efficiency of capital
C. the risk associated with the loan
D. the prevailing tax rate
49. A valid explanation for real wage growth is __.
A. an increase in the rate of productivity
B. the rising cost of capital accumulation
C. a contraction of employment in service industries
D. an increase in the quantity of labour
50. If Mr. X lost his clerical job at a store and searched for a similar job for ten months before finding one this implies that Mr. X was __.
A. structurally unemployed
B. frictionally unemployed
C. seasonally unemployed
D. cyclically unemployed