1. A country embarks on deficit financing in order to __.
A. reduce aggregate demand
B. increase revenue
C. stimulate investment
D. curb inflation
2. The money market provides business firms with the avenue to __.
A. purchase goods and services
B. purchase capital equipment’s
C. obtain short- term funds
D. obtain long-term funds
3. The optimum level of output for pure monopolist occurs where _.
A. P is highest
B. P = AC
C. P = MC
D. MR = MC
4. According to the demographic transition theory, Africa can be said to be at stage __.
A. 2 and 3
B. 3 only
C. 2 only
D. 1 and 3
5. The Economic Community of West African States (ECOWAS) is an example of __.
A. globalization
B. regional marketing board
C. economic integration
D. economic union
6. Given: 32, 18, 24, 17, 16, 32, 28, 68, 71 and 15, the mode of the distribution is __.
A. 71
B. 56
C. 32
D. 15
7. The major determinant of income elasticity of demand is __.
A. government policy
B. the availability of substitutes
C. the price of the good
D. the level of consumer's income
8. Given: 2, 4, 6, 8, 4 and 6, the absolute mean deviation is __.
A. 6.00
B. 1.67
C. 30.00
D. 0.60
9. The precautionary demand for money is determined by __.
A. the level of savings
B. the rate of interest
C. general price level
D. the level of income
10. If the output of a firm experiencing economies of scale increases, the average cost would __.
A. be at minimum
B. rise
C. be at maximum
D. fall
11. The demand curve for a normal good is negatively sloped because __.
A. price is an incentive to producers
B. price is an incentive to consumers
C. demand always exceeds supply
D. price and quantity move in the same direction
12. The average total cost when 20 units are produced is __.
A. ₦45.30kg
B. ₦50.00kg
C. ₦47.50kg
D. ₦5.00kg
13. The major role of multinational companies in the Nigerian petroleum industry is __.
A. oil marketing only
B. oil marketing and prospecting
C. establishment of refineries
D. oil prospecting only
14. Life insurance companies contribute to economic development by holding a part of their assets in __.
A. long-term financial instruments
B. equipment
C. cash and near money
D. money-market instruments
15. The wage rate is mostly related to __.
A. marginal productivity of labour
B. average productivity of labour
C. marginal efficiency of investment
D. total productivity of labour
16. The choice of how to produce in a command economy is determined by __.
A. consumers
B. government
C. industries
D. labour unions
17. The co-efficient of price elasticity of supply is __.
18. A change in supply of a commodity is due to a change in the __.
A. price of the commodity
B. cost of production
C. price of substitute
D. population growth rate
19. In a limited liability company, the greatest risk is borne by the __.
A. preference shareholders
B. debentures shareholders
C. ordinary shareholders
D. board of directors
20. A market characterized by absence of close substitutes of goods and services is an example of __.
A. a monopoly
B. an oligopoly
C. a perfect competition
D. a monopolistic competition
21. An inflation that co-exists with high rate of unemployment is __.
A. hyperinflation
B. cost-push inflation
C. stagflation
D. demand-pull inflation
22. The growth and development of small and medium scale enterprises in Nigeria is hampered by __.
A. poor regulatory framework
B. poor access to credit facilities
C. poor management
D. the small size of the market
23. A major determinant of demand is __.
A. incentives to workers
B. level of technology
C. population
D. cost of production
24. Which of the following can be used to measure the Gross National Product __.
A. C+I+G-F(X+M)
B. C+I+G+(X-M)
C. C+I+G+X
D. C+I+G
25. Find the median of the following set of data 35, 10, 14, 38, 15, 18, 22, 30 and 28.
A. 10
B. 22
C. 38
D. 35
26. From the table above, determine the average product of the 5th unit of capital.
A. 310.5
B. 176.5
C. 70.6
D. 62.0
27. The problem of what to produce is determined by __.
A. consumption pattern
B. the distribution pattern
C. the state of technology
D. the volume of production
28. The main function NNPC is to __.
A. develop the oil producing areas
B. oversee the development of the oil sector
C. ensure regular supply of products
D. fix the prices of petroleum products
29. A major feature of an underdeveloped economy is
A. low rate of population growth
B. excess capacity utilization
C. low level of unemployment
D. low level of standard living
30. A tax on land will ultimately fall __.
A. partly on agents and users
B. partly on users and owners
C. entirely on owners
D. entirely on users
31. The deregulation on the petroleum sector in Nigeria will bring about __.
A. efficiency in pricing and distribution of the products
B. fixing appropriate production quotas
C. an end to the importation of fuel
D. an end to foreign firms' dominance
32. One of the ways of correcting a deficit balance of payments is to __.
A. devalue a country's currency
B. predominate a country's currency
C. reduce imports
D. reduce exports
33. A nation's net export is negative when her __.
A. export is adjusted upwards
B. external reserves deplete
C. depreciation exceeds investments
D. imports exceeds exports
34. Given: Qd = 30 — 3P and Qs = 9P — 15, determine the equilibrium price.
A. ₦12.00
B. ₦3.75
C. ₦2.80
D. ₦3.00
35. The problem of economic development in Nigeria is that of __.
A. poor weather conditions
B. overpopulation
C. surplus skilled manpower
D. inadequate infrastructure
36. The combination of two commodities that yield the same level of satisfaction is illustrated by __.
A. a budget line
B. an isocost curve
C. a production possibility curve
D. an indifference curve
37. The demand for inferior goods is inversely related to change in __.
A. income
B. price
C. supply
D. taste
38. The minimum number of shareholders for partnership is __.
A. 7
B. 4
C. 2
D. 3
39. When diminishing returns sets in, the total variable cost begins to __.
A. rise at an increasing rate
B. fall at a decreasing rate
C. rise at a decreasing rate
D. fall at an increasing rate
40. From the table above, the marginal product of the 7th Unit of Capital is __.
A. 80kg
B. 100kg
C. 310kg
D. 173kg
41. Given: 32, 18, 24, 17, 16, 32, 28, 68, 71 and 15, what is the range?
A. 26
B. 32
C. 56
D. 68
42. From the diagram above, the consumer is at equilibrium at point __.
A. G
B. F
C. K
D. M
43. If P = 1/4 (Qs + 30), what is the quantity supplied at ₦18?
A. 64.5
B. 42.0
C. 2.4
D. 30.0
44. When a consumer is at equilibrium, The MRS x y is equal to the __.
A. product of the two prices
B. sum of the two prices
C. ratio of the two prices
D. difference of the two prices
45. One of the major factors militating against industrialization in Nigeria is __.
A. low level of foreign investment
B. frequent break-down of equipment
C. inadequacy of infrastructural facilities
D. government participation
46. One of the factors that is considered in the location of a cement industry is nearness to __.
A. market
B. raw materials
C. infrastructural facilitates
D. skilled manpower
47. A problem facing the development of the Nigerian Petroleum industry in Nigeria is __.
A. persistent gas flaring
B. instability in demand for the products
C. dominance of multinationals
D. declining oil reserves
48. At full employment level, a contractionary monetary policy will lead to a
A. rise in aggregate supply
B. rise in aggregate demand
C. rise in level of inflation rate
D. fall in the level of inflation
49. A country where the available population is unable to guarantee efficient utilization of available resources is experiencing
A. underpopulation
B. over-population
C. high population density
D. optimum population
50. One of the causes of instability in farmers' income is __.
A. high level of illiteracy
B. unfriendly land tenure
C. unfavourable weather condition
D. poor management of extension services