JAMB Economics Past Questions & Answers - Page 191

951.

A cumulative frequency graph is

A.

A histogram

B.

An ogive

C.

A bar chart

D.

A pie chart

Correct answer is B

A cumulative frequency is known as an ogive. It is a type of frequency polygon that shows cumulative frequencies.

952.

A typical feature of a market economy is that

A.

All producers make profit

B.

Full employment exists

C.

Consumer sovereignty exists

D.

There is equality of economic agents

Correct answer is C

 A market economy is characterized by private ownership, freedom of choice, self-interest, buying and selling platforms, competition, and limited government intervention. There is consumer sovereignty in a market economy in a way that consumers decide what should be produced, while the forces of demand determine at what prices goods and services should be exchanged.

953.

Musa has a choice of buying a shirt, a book and a bag. What is the opportunity cost of buying a book?

A.

A bag only

B.

A book and a bag

C.

A shirt and a bag

D.

A shirt only

Correct answer is C

The opportunity cost is simply explained as the foregone alternative. It is what you give up in order to buy something else.

In this case, Musa can either buy a shirt, a book, or a bag, but cannot buy all of them at the same time. If he decides to buy a book, the bag and shirt that he did not buy are the opportunity cost.

954.

A classroom teacher is promoted to the rank of a principal. This is an example of

A.

Vertical mobility

B.

Lateral mobility

C.

Social mobility

D.

Horizontal mobility

Correct answer is A

When a worker of a lower grade and status in an occupation moves to another occupation in a higher grade and status, it is vertical mobility. Just as a school lecturer becomes a college lecturer, a clerk becomes a manager, etc.

955.

A high rent on land will affect the cost of producing maize

A.

At the early stage of production

B.

Negatively

C.

At the later stage of population

D.

Positively

Correct answer is B

A high rent on land will affect the cost of producing maize negatively. This is because the producers or farmers who farm on the land will have to increase the prices for the maize in order to break even. This will affect the demand for the maize and the firm as well, as regards the law of demand. Apart from leading to an increase in the general cost of production, it is not every farmer or firm that may be able to afford the land to cultivate the maize.