JAMB Economics Past Questions & Answers - Page 168

836.

A condition in which official and autonomous exchange rate coexist is

A.

Dual exchange rate system

B.

Managed floating rate system

C.

Market determined exchange rate system

D.

Multiple exchange rate system

Correct answer is D

Multiple exchange rates is a system where a country will have both fixed and floating foreign exchange rates at the same time and both can be used when exchanging currencies in that country.

837.

The transfer of public shareholding corporations to private enterprises is

A.

Concession

B.

Incorporation

C.

Commercialization

D.

Privatization

Correct answer is D

The transfer of ownership, property or business from the government to the private sector is termed privatization. This is done in sectors that are inefficient in providing essential services.

838.

The record of a country's transactions in international trade is her

A.

Capital account

B.

Balance of payments

C.

Current account

D.

Balance of trade

Correct answer is B

The balance of payments (BOP) is a statement of all transactions made between a country with the rest of the world over a defined period of time.

839.

Industrial development in Nigeria can be encouraged through

A.

Signing WTO treaty

B.

Granting subsidies

C.

The provision of efficient infrastructure

D.

Direct government participation

Correct answer is B

Subsidies, on the other hand, refer to direct contributions, tax breaks and other special assistance that governments provide businesses to offset operating costs over a lengthy time period. By granting subsidies, industrial development is attainable.

840.

Investing heavily in the agricultural sector will lead to

A.

Sufficient food production

B.

A vibrant commodity market

C.

Capital inflow

D.

Stable export prices

Correct answer is A

One of the major reasons for investing in the agricultural sector is for sufficient food production that can cater for a population. A farmer's main goal is to produce a good crop and/or healthy animals in order to make a living and to feed the population. Farmers are responsible for all crops and livestock that are needed for us to survive.