The concentration of many firms of a particular industry in a particular area is known as
Location of industry
Amalgamation of industries
Localization of industries
Nationalization of industry
Correct answer is C
Localisation means the concentration of a certain industry in a particular area, locality or region. Localisation is related to the territorial division of labour, that is, specialisation by areas or regions.
Which of the following measures will not encourage industrialization in West Africa?
Taking over of all forms of industries by the government
Provision of social infrastructure
Giving tax incentives, especially to infant industries
Using tariffs to discourage the use of imported items
Correct answer is A
Taking over of all forms of industries by the government will not aid the development of industries in a country or region on a wide scale as most government owned enterprises are monopolistic in nature and are mostly characterized by low performance and yield.
Precautionary motive for holding money is to
Meet daily and regular transactions
Take advantage of changes in the prices of goods and services
Cover unforeseen events
Cover expenses on house rent
Correct answer is C
Precautionary motive: A desire to hold cash in order to be able to deal effectively with unexpected events that require cash outlay.
Which of the following functions of money is mostly affected during inflation?
Medium of exchange
Unit of Account
Store of value
Standard of deferred payment
Correct answer is C
Inflation erodes the value of money; it does not keep its value. Something that costs a certain amount today will cost more tomorrow. This affects everything from the timing of transactions to the amount required for future payments (interest rates).
Merchant Bank
Development Bank
Central Bank
Insurance Company
Correct answer is A
Merchant Bank: a bank dealing in commercial loans and investment.