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.
Effective demand for a commodity is desire for that commodity backed by______
A wish for the lowest possible price
Ability and willingness to pay
Cash in one's pocket
A promise to make payment
Correct answer is B
Effective demand is the desire, backed by willingness and ability, to buy at a given price.
Marginal physical productivity
Marginal income productivity
Consumer's surplus
Economic rent
Correct answer is D
Economic rent is a surplus arrived at by deducting marginal product and opportunity cost.
The last link in the channel of distribution is____________
Producer
Retailer
Consumer
Wholesaler
Correct answer is C
Goods are moved from the producer/manufacturer to the wholesaler, from the wholesaler to the retailer and from the retailer to the consumer, which is the last link in trade.
An economy system that uses what is regarded as the "Market mechanism" is called_______
Mixed economy
Socialism
Command economy
Capitalism
Correct answer is D
The market mechanism is solved through the Forces of demand and supply in the capitalist economy which is also known as free enterprises or free market economy.
The determination of price by bargaining between buyers and sellers is_______
Sales by Auction
Tender
Higgling and Haggling
Price control
Correct answer is C
Higgling and Haggling is one of the ways price are determined in an imperfect market. The buyer's maximum price and the seller's minimum price provide the "price range of bargaining".