JAMB Economics Past Questions & Answers - Page 256

1,276.

In a free market economy, the price system allocates resources

A.

Under government's directives

B.

To ensure general welfare

C.

To their best alternatives

D.

To reduce poverty

Correct answer is C

No explanation has been provided for this answer.

1,277.

If the price elasticity of demand for a good is 0.43, an increase in the price of the good will result in

A.

An increase in profit by 43%

B.

A net gain

C.

A decrease in profit 43%

D.

A net loss

Correct answer is B

No explanation has been provided for this answer.

1,278.

Being a member of the OPEC, Nigeria is in a favorable position to

A.

Export her crude oil

B.

Control world crude oil prices

C.

Reap the benefit of a cartel

D.

Borrow money from members

Correct answer is C

No explanation has been provided for this answer.

1,279.

 If the United Kingdom buys gold for $60 an ounce and Nigeria buys the same ounce for N500, what will be United Kingdom's exchange rate with Nigeria?

A.

$0.05 = N1.00

B.

$0.06 =N1.00

C.

$0.11 =N1.00

D.

$0.12 =N1.00

Correct answer is D

No explanation has been provided for this answer.

1,280.

A country's import price index by 1995 was 50 and her index of export price was 70. Calculate the terms of trade?

A.

20%

B.

71%

C.

120%

D.

140%

Correct answer is D

No explanation has been provided for this answer.