JAMB Economics Past Questions & Answers - Page 347

1,731.

Given perfect competition in the capital market, the opportunity cost of capital is adequately reflected by the

A.

interest rate

B.

Returns on capital

C.

Alternative capital foregone

D.

Shadow price of foreign exchange

Correct answer is B

No explanation has been provided for this answer.

1,732.

If the cost of production for a firm continues to increase as it output rises, the firm is said to be experiencing

A.

Large-scale production

B.

Profit maximization

C.

Economies of scale

D.

Diseconomies of scale

Correct answer is D

No explanation has been provided for this answer.

1,733.

If X represent the factors of production and Y represent the factor price, which of the following sets of association is correct?

A.

(land, rent) (capital, wage), (labour, profit)

B.

(land, interest) (capital,profit), (labour, wage)

C.

(land, wage), (capital, interest), (labour,rent)

D.

(land,rent), (capital, interest), (labour, wage)

Correct answer is D

No explanation has been provided for this answer.

1,734.

Efficiency in production involves

A.

Reducing the size of the workforce

B.

Producing a given output with the lowest cost combination of factors of production

C.

Adoption of capital-intensive technology

D.

Increasing the quantity of the fixed factor of production

Correct answer is B

No explanation has been provided for this answer.

1,735.

The primary problem of Economics is

A.

To obtain a more equitable distribution of money income

B.

The scarcity of productive resources relative to material needs

C.

How to reach prices which correctly depict that products and resources are not in abundance

D.

To teach people how to save so as to make more money

Correct answer is B

No explanation has been provided for this answer.