WAEC Economics Past Questions & Answers - Page 38

186.

Agricultural productivity may be increased if

A.

Educational institutions are established in rural areas

B.

Commercial banks are established in rural areas

C.

More infrastructural facilities are provided in rural areas

D.

Labour intensive method of agriculture is encouraged

Correct answer is D

Increased agricultural productivity leads to agricultural growth and can help to alleviate poverty. Intensive agriculture is a system of cultivation using large amounts of labor and capital relative to land area. This is one way productivity can be encouraged in agriculture.

187.

The use of interest rates to control the money supply is a

A.

Control policy

B.

Monetary policy

C.

Developmental policy

D.

Fiscal policy

Correct answer is B

Monetary policy is made up of policies drafted by the central bank to manage the supply of money and interest rates, aimed at controlling inflation, consumption, growth, and liquidity.

 

188.

Human development can be improved if

A.

Banks give more loans to businessmen

B.

Large family sizes are encouraged

C.

General education and training are encouraged

D.

It is handled by the private sector only

Correct answer is C

Human development can be improved when people are encouraged to get educated and trained on various skills.

189.

Malthusian theory of population was proved wrong because

A.

The practice of subsistence farming was encouraged

B.

Developing countries adopted birth control method

C.

New lands and new methods of production were discovered

D.

Malthus view was seen as an exaggeration

Correct answer is C

The Malthusian theory was criticized based on the observations that the population was rising at a rapid rate in some parts of the world. At the same time, the food supply had also increased due to technological developments. Many times, food production had increased more than the population.

190.

Middlemen are made up of

A.

Manufacturers, wholesalers, and consumers

B.

Manufacturers, wholesalers, and retailers

C.

Wholesalers, retailers and hawkers

D.

Wholesalers, retailers, and consumers

Correct answer is C

Middlemen are agents who play the role of an intermediary in a distribution or transaction chain that facilitates interaction between parties. They include wholesalers, retailers, agents, and brokers.

For those who may be confused about a hawker being a middleman, remember a hawker does the same thing a retailer does, - sells to the final consumer. The difference between a hawker and a retailer is in the mode of conducting business. While a retailer may have a kiosk, shop, or store where their goods are sold, a hawker moves from one place to another to sell different products.