JAMB Economics Past Questions & Answers - Page 186

926.

If government expenditure exceeds revenue, this result in

A.

Balanced budget

B.

National debt

C.

Budget deficit

D.

Budget surplus

Correct answer is C

A budget deficit occurs when expenses exceed revenue.

927.

The Basic Needs Approach to development is

A.

Poverty alleviation

B.

Provision of educational infrastructure

C.

Provision of health services

D.

Improvement in workers income

Correct answer is A

No explanation has been provided for this answer.

928.

Cost-push inflation occurs when

A.

Production cost is high

B.

Factor prices decrease

C.

There is too much money in circulation

D.

Government embarks on deficit financing

Correct answer is A

Cost-push inflation occurs when overall prices go up due to increase in the cost of wages and raw materials.

929.

A manufacturer who wants to build a new plant will source funds from the

A.

Commercial banks

B.

Money market

C.

Capital market

D.

Government

Correct answer is C

No explanation has been provided for this answer.

930.

The reform in the banking sector in Nigeria is principally motivated by the need to

A.

Increase the capital base of banks

B.

Provide more money to run the economy

C.

Minimize the rate of bank failures

D.

Enhance efficiency in bank operations

Correct answer is C

No explanation has been provided for this answer.