WAEC Past Questions and Answers - Page 3167

Underdevelopment in Africa is as a result of many contributing factors which include poverty, illiteracy, very large extended families, corruption and lack of accountability. Poverty is one of the causes of underdevelopment in Africa. Unfortunate events such as slave trade, wars and other bad incidents

Fiscal policy involves the government changing tax and spending levels in order to influence the level of Aggregate Demand. To reduce inflationary pressures the government can increase tax and reduce government spending.

The two main components of fiscal policy are government revenue and government expenditure. In fiscal policy, the government controls inflation either by reducing private spending or by decreasing government expenditure, or by using both. It reduces private spending by increasing taxes on private businesses.

No explanation has been provided for this answer.

Indirect taxes: An indirect tax is a tax levied on goods and services rather than on income or profits. indirect taxes are regressive in nature. They are consumption based taxes, service tax, value added tax,customs and excise duty etc are examples of Taxes are regressive when they impose a harsher burden on the poor than on the rich.

The stock market refers to the collection of markets and exchanges where regular activities of buying, selling, and issuance of shares of publicly-held companies take place.