JAMB Economics Past Questions & Answers - Page 359

1,791.

Foreign exchange control in Nigeria is administered by the

A.

United Bank for Africa

B.

Union Bank of Nigeria

C.

First Bank Of Nigeria

D.

Central Bank of Nigeria

E.

Natonal Bank of Nigeria

Correct answer is D

No explanation has been provided for this answer.

1,792.

Devaluation of the naira as a condition for the international Monetary Fund 'loan' is considered inadvisable because

A.

It would allowed for more money to be spent on luxuries

B.

The interest rate on the loan will increase

C.

It would decrease the demand for Nigeria's exports

D.

it would worsen Nigeria foreign exchange situation

E.

Nigeria's oil would sell less in the world market

Correct answer is D

No explanation has been provided for this answer.

1,793.

The argument of tariff protection in less developed economies is that such a measure would

A.

Raise the price of goods affected abroad

B.

Make consumers pay a higher price for the domestically produced output

C.

Protect young industries from ruinous competition from abroad

D.

Help reduced excess capacity in domestic industries

E.

Stifle private investment intiatives

Correct answer is C

No explanation has been provided for this answer.

1,794.

By terms of trade, we mean the

A.

Ratio of exports and imports

B.

Differences between exports and imports

C.

Differences between current account and capital account

D.

Index of export prices to import prices expressed as a percentage

E.

Ratio of short-term capital movements to long-term

Correct answer is D

Terms of trade (TOT) refers to the relative price of imports in terms of exports and is defined as the ratio of export prices to import prices. It can be interpreted as the amount of import goods an economy can purchase per unit of export goods.

1,795.

Tax which is levied on goods manufactured, sold, or used within a country is?

A.

Sales tax

B.

Excise tax

C.

Direct tax

D.

Income tax

E.

Poll tax

Correct answer is B

No explanation has been provided for this answer.