JAMB Economics Past Questions & Answers - Page 386

1,926.

The main function of price mechanism is to

A.

Limit consumer demand

B.

Enable producers make profit

C.

Allocate scarce resources among competing ends

D.

Ensure consumer sovereignty

Correct answer is C

No explanation has been provided for this answer.

1,927.

Given that beef and fish are substitutes, a rise in the price of beef relative to that of fish will

A.

Induce greater demand for beef

B.

Induce greater demand for fish

C.

Induce lower demand for fish

D.

Equate demands for beef and fish

Correct answer is B

No explanation has been provided for this answer.

1,928.

In drawing an individual's demand curve for a commodity, which of the following is not kept constant? The

A.

Individual's money income

B.

Price of subtitutes

C.

Price of complementary goods

D.

Price of the commodity under consideration

Correct answer is C

No explanation has been provided for this answer.

1,929.

A perfectly competitive firm does not influence the demand for its commodities by lowering its price below the market price because

A.

It is illegal price cutting

B.

Other competitors will be angry

C.

Total revenue will decline due to its elastic demand curve

D.

It is able to sell all it wants at the market price

E.

It does not maximize profit

Correct answer is C

No explanation has been provided for this answer.

1,930.

Which of the following statements describes a mixed economy?

A.

The government and the private sector interact in solving the basic economic problems

B.

The invisible hand solves the basic economic problems

C.

The government produces and distributes all goods and services

D.

Society answers the 'what', 'how', and 'for whom' questions only through the market system

Correct answer is A

No explanation has been provided for this answer.