JAMB Economics Past Questions & Answers - Page 217

1,081.

The hoarding of goods is usually experienced when

A.

Supply is greater than demand

B.

The market price above the equilibrium price

C.

Demand is greater than supply

D.

Excess demand is greater than excess supply

Correct answer is C

In economics, hoarding is the deliberate effort made by a seller or a producer of a particular commodity to create artificial scarcity of such commodity by keeping it locked up in his store and not releasing it to the market to circulate for sales.

This is done when the demand for such a good is high leading to high prices. Most of the fuel scarcity issue experienced in Nigeria is caused by hoarding.

1,082.

Under perfect competition, the short-run supply curve of a firm is determined by its

A.

Total cost curve

B.

Marginal cost curve

C.

Average fixed cost curve

D.

Average cost curve

Correct answer is B

No explanation has been provided for this answer.

1,083.

In a car assembly plant, division of labour is demonstrated by

A.

Assigning each worker to a specific activity

B.

Assigning each worker a given number to produce

C.

Increasing the daily output

D.

Producing a specific model

Correct answer is A

No explanation has been provided for this answer.

1,084.

An example of a long-run cost of a firm is

A.

Fuel and maintenace cost

B.

The planned size of plant equipment

C.

The existing size of plant and equipment

D.

Rent on buildings

Correct answer is A

Long-run costs are costs that change from time to time. From the above options, expenses on fuel and maintenance are variable cost.

1,085.

An increase in the quantity supplied of commodity suggests

A.

A leftward shift of the supply curve

B.

A rightward shift of the supply curve

C.

A movement along the supply curve

D.

An increase in elasticity of supply

Correct answer is C

No explanation has been provided for this answer.