JAMB Economics Past Questions & Answers - Page 114

566.

The technical relationship between the physical inputs and the physical outputs of a firm is

A.

Utility

B.

Cost

C.

Demand

D.

Production function

Correct answer is D

Production function shows the technical information about the combination of inputs necessary for the production of outputs. In equation we write the production function as q = f (L, K) where L and K represents the inputs of labour and capital respectively.

567.

Which of the following are examples of transfer payment

A.

Gift and donations

B.

Rents and rates

C.

Profit and dividends

D.

Internal and external debts

Correct answer is A

Examples of transfer payments include welfare, financial aid, gifts, social security, and government making subsidies for certain businesses.

568.

A monopolist has the power to influence the prices of goods and services. Therefore, he is a

A.

Price maker

B.

Price taker

C.

Price system

D.

Price competition

Correct answer is A

Monopoly is a situation where there is a single producer and seller of a commodity for which there is no close substitute. This gives a monopolist the power to make/decide the price for a particular commodity.

569.

A firm that charges the maximum price without attracting competition from new entrants is

A.

Oil firms

B.

Monopolistic competitive firm

C.

Monopolistic firm

D.

Perfectly competitive firm

Correct answer is C

Monopolistic firm is characterizes by an industry in which many firms offer products or services that are similar, but not perfect substitutes. Barriers to entry and exit in a monopolistic competitive industry are low, and the decisions of any one firm do not directly affect those of its competitors.

570.

Census can be classified as

A.

Defacto and dejure

B.

Increasing and decreasing

C.

Over and under

D.

Optimum

Correct answer is A

There are two types of population census. They are: Defacto Population Census and De jure Population Census.

 

Defacto is that type of census where only those who physically present would be counted.

Dejure is that type of census where an individual must be a permanent resident of an area. It is counting by proxy.