UI Economics 2019/2020 Past Questions

Practice each question, then open it to see the full details.

Which of the following is NOT a measure of central tendency?

A.mean
B.median
C.Mode
D.average
E.standard deviation

Which of the following is NOT a measure of dispersion

A.standard deviation
B.mean deviation
C.variance
D.range
E.mean

A normal good with close substitutes is likely to have its price elasticity of demand

A.between zero and one
B.equal to unity
C.greater than unity
D.less than unity
E.none of the above

Demand for a factor of production is

A.A composite demand
B.a joint demand
C.a derived demand
D.an elasticity of demand
E.cross elasticity of demand

Given Demand function: Qd = 5P + 10; Supply function: Qs = 7P - 5. If the price is at N5, the excess demand is

A.35
B.30
C.10
D.5
E.65

To calculate the annual natural growth rate of a country's population, one has to know the country's annual birth rate and

A.The size of that country
B.The rate of immigration into that country
C.The population census of that country
D.The annual death rate
E.The gross domestic product (GDP) of the country

Which of the following is not true of the theory of optimum population?

A.t is possible for a densely populated country to be under-populated if it has insufficient labour to make the most effective use of its other factors
B.The quantity of labour, which combines with other factors, gives the minimum output, is known as optimum population
C.The quantity of labour, which combined with the other factors, gives the maximum output, is known as optimum population
D.The test of over-population is whether it exceeds the optimum
E.It is possible for a thinly populated country to be over populated if it has a poor supply of other factors

Which of the following is the standard concept of measuring and analyzing population growth?

A.The rate of natural increase
B.The net migration rate
C.The rate of population increase
D.The fertility rate
E.All of the above

Which of these would NOT increase the population of a country?

A.Increase in death rate
B.Decrease in birth rate
C.Emigration
D.Migration
E.Better medical facilities

An improvement in the Nigeria's terms of trade should

A.Lead to a fall in cost of her imports in terms of what she must sacrifice to obtain them
B.Make made-in-Nigeria goods cheaper to buy
C.Increase Nigeria's domestic output of commodities
D.Lead to an increase in her exchange rates
E.Lead to an increase in Nigeria's exports of petroleum

The major objective of economic growth is to

A.Redistribute income and other benefit of growth
B.Equalize opportunity for education and employment
C.Increase aggregate expenditure on goods and services
D.Increase the real per capita income
E.Increase access to education

The most common index used for measuring development is

A.The level of literacy
B.Per capita income
C.Nutritional levels
D.Population growth rate
E.International development index

Which is NOT a direct effort to increase agricultural production in Nigeria?

A.Operation Feed the Nation
B.Nigerian Youth Service Corps
C.Increased loans to farmers and cooperatives
D.Research in Agriculture and extension services
E.Mechanization of agriculture

Which of the following sectors of the economy is estimated to be the largest employer of labour in the country?

A.Construction
B.Agriculture
C.Distribution
D.Mining and petroleum
E.Transport and communications

Industries contribute to national economic development because they

A.Utilize local raw material
B.Employ an increasing number of labour
C.Provide recreational facilities
D.Use modern machines which replace human labour
E.All of the above

The residual of production which accrues to the ownership of land after all other expenses have been met is called

A.wages
B.profit
C.rent
D.interest
E.discount

Average fixed cost is

A.average total cost less the sum of average variable cost
B.half the sum of all costs
C.total fixed cost divided by the level of output
D.total fixed cost plus marginal cost
E.total variable cost divided by output

Average fixed cost is a rectangular hyperbola

A.since unit cost increases as output increases
B.unit cost increases as output decreases
C.unit cost decreases as output increases
D.unit cost remains the same as output increases
E.none of the above

Long run cost is U-shaped because of the operation of

A.economies of scale on the left hand side and diseconomies of scale on the right hand side
B.diseconomies of scale on the left and right hand sides
C.economies of scale on the left and right hand sides
D.constant return to scale
E.diseconomies of scale of the left hand side and economies of scale of the right hand side

Marginal cost is the ..........

A.the lowest cost of producing goods
B.the cost of production of the most efficient firm in an industry
C.the cost of production of the most inefficient firm in an industry
D.the cost of production of the last unit of goods produced by a firm
E.the cost of production at which minimum profit is obtained by the firm

Given Demand function: Qd = 5P + 10; Supply function: Qs = 7P - 5. The equilibrium quantity is

A.50
B.55
C.75.5
D.47.5
E.55.5

In market economies, resources are allocated through the

A.government authorities
B.price system
C.banking system
D.central planning bureau
E.revenue allocation formula

In the operation of market forces, the market is in equilibrium at the point where

A.demand and supply curve intersects in more than one point
B.the excess in the market can be conveniently stored
C.excess demand is positive
D.demand and supply curves intersect
E.excess demand is negative

The basic feature of a market economy is

A.the reduction in the power of sellers
B.the enthronement of consumer sovereignty
C.the dismantling of barriers to trade
D.the perfectly elastic price for every transaction
E.the intersection of demand and supply curves

The following are the conditions that must be fulfilled for price determination EXCEPT

A.market merger
B.market segmentation
C.demand elasticities
D.product differentiation
E.none of the above