JAMB Economics Past Questions & Answers - Page 213

1,061.

In computing national income, transfers are excluded because

A.

They are received only by the poor

B.

The figures reduce the size of national income

C.

It is difficult to get the exact figures

D.

They are not payments for productive activities

Correct answer is D

No explanation has been provided for this answer.

1,062.

Personal income tax as a source of government revenue is increased when the

A.

Tax rate is raised

B.

Tax system is proportional

C.

Retirement age is reduced

D.

Tax base is contracted

Correct answer is A

No explanation has been provided for this answer.

1,063.

If the marginal propensity to consume is 0.6 and consumption expenditure changes by N10 million, the equilibrium level of income will change by

A.

N4.0 milion

B.

N25.0 milion

C.

N2.5 milion

D.

N15.0 milion

Correct answer is B

No explanation has been provided for this answer.

1,064.

An institution that regulates trade relations among members is the

A.

ADB

B.

OPEC

C.

EU

D.

IMF

Correct answer is B

No explanation has been provided for this answer.

1,065.

If government increases in its expenditure on public works, the desired effect is

A.

A reduction in the use of capital equipment

B.

An increase in the level of emploment

C.

An increase in the level of inflation

D.

An increase in the use of capital equipment

Correct answer is A

No explanation has been provided for this answer.