JAMB Economics Past Questions (2004)
Q1. Trade among West African countries is poor because the
A. countries are self-sufficient
B. communication links are weak
C. number of banks is insufficient
D. people are not enterprising
Answer: B
Q2. A policy by which governments restrict the amount of
foreign currencies bought and sold is known as
A. devaluation
B. credit creation
C. exchange control
D. export promotion
Answer: C
Q3. When the general price level persistently falls, the rate of unemployment
A. rises
B. stagnates
C. rapidly reduces
D. equals natural growth rate
Answer: A
Q4. Mixed economy refers to a system in which the means of production are controlled by
A. private enterprise and the government
B. private individuals
C. the government only
D. the workers and businessmen
Answer: A
Q5. Open Market Operation (OMO) means the
A. provision of credit facilities by commercial banks
B. provision of credit facilities by the mortgage banks
C. buying and selling of government securities by the central bank
D. procedure for the establishment of commercial banks
Answer: C
Q6. Which of the following is an advantage of localization of industry?
A. Development of subsidiary firms
B. Creation of parallel markets
C. Development of slums
D. Attraction of foreign capital
Answer: A
Q7. The gap between demand and supply curves below the equilibrium price indicates
A. excess demand
B. excess supply
C. equilibrium quantity
D. equilibrium price
Answer: A
Q8. The national income of a country can be estimated by the
A. cost-benefit method
B. distribution method
C. expenditure method
D. consumption method
Answer: C
Q9. One main benefit of partnerships is
A. the possibility of raising funds on the stock exchange
B. the possibility of attracting twenty one or more members
C. that members can specialize in various functions
D. that it enjoys its own separate legal entity.
Answer: C
Q10. Demand for inferior good is an example of
A. expansion of demand
B. contraction of demand
C. individual demand
D. abnormal demand
Answer: D