Economics Questions and Answers
Economics questions and answers to help you prepare for JAMB, WAEC, NECO, Post UTME and job aptitude tests or interviews.
Economics questions and answers to help you prepare for JAMB, WAEC, NECO, Post UTME and job aptitude tests or interviews.
An example of a vertical combination is the merger of_________
A spinning firm and a wearing firm
Two meat retailing firms
Two very large wholesale textile distributors
Three secretarial employment agencies in one town
Correct answer is A
Vertical combination is the merging together of two businesses that are at different stages of production. Merging in this way with something further on in the production process is known as Forward Integration.
Marginal product
Marginal cost curve
Demand curve
Average cost curve
Correct answer is C
A monopolist can either decide his output or the price at which he will sell, but not both. A monopolist must consider elasticity of demand, since his aim is to produce the output that will yield him maximum profit.
If the demand curve is elastic, he will decrease his price and if it is inelastic, he will increase his price in order to earn revenue.
An example of a market which approaches fairly near to perfection is____________
he retail market
The house market
The labour market
The foreign exchange market
Correct answer is D
The foreign exchange market is a market which deals with foreign exchange transactions and it involves the buying and selling of foreign currencies.
I, II
II, III
I, III, IV
I, II, III, IV
Correct answer is D
Consumer preferences (Taste), Income, taxation, advertisement, population, weather conditions, price of other commodities are shift. Factors that affect or change or shift the demand curve.
A commodity is defined as normal when its demand changes in the same direction as______
Income
Price
Taste
Preference
Correct answer is A
A commodity whose income elasticity is positive is a normal good because more of it is purchased as the consumer's income increases.