Economics Questions and Answers

The digram above represent the production possibility curve which is also known as production possibility frontier, production possibility boundary, or transformation curve.

The economy is mixed with the highest GDP. It constitutes private expenditure as a percentage of GDP.

18 - 64yrs Age group belongs to active Labour force (working population or active population) in a country.

Point 'E" inside the graph indicates it is technologically inefficient" , Underemployed" or wide spread unemployent" or resources are not fully utilized or production inefficient"

Cost push inflation is inflation caused by an increase in prices of inputs like labour, raw materials etc.

Inductive reasoning is a process by which a person makes a generalization based on specific, individual experiences. This process begins with observation.

The economies of West African Countries depend majorly on primary products. Primary products refer to goods that are available from cultivating plants or by extracting minerals from the earth. These include agricultural products, mining products, and other raw materials. West African countries like Nigeria, Ghana, and Ivory Coast are known for their export of primary products like oil, cocoa, and gold respectively.

Reasons for the imposition of tariffs or restriction of trade are: To protect infant industries, generation of revenue, to prevent dumping, to improve balance of payment deficit, employment generation, to promote self-sufficiency, political motive, to protect strategic industries etc.

Macroeconomics focuses on the following units in of government, household firms, individual consumers and external sector.

Q = 14, P = 4

Qd = 30 - 4p

∆q/∆p = - 4

Ed = ΔqΔp×pq

= - 4 x 4/14

= Ed = -1.14

since price elasticity is positive, then Ed = 1.14