2012 - JAMB Economics Past Questions and Answers - page 3
21
Net National Product is derived by deducting
A
net exports from GNP
B
subsidies from GDP
C
taxes from GDP
D
depreciation from GNP
correct option: d
Users' Answers & Comments22
The investment expenditure of an economy changes by N 2 million and MPC is 0.75
The multiplier is
The multiplier is
A
8
B
4
C
3
D
2
correct option: d
Users' Answers & Comments23
The investment expenditure of an economy changes by N 2 million and MPC is 0.75
What is the change in income?
What is the change in income?
A
N0.5m
B
N1.5m
C
N2.6m
D
N8.0m
correct option: d
Users' Answers & Comments24
If a basket of commodities cost N120 in the base year and N240 in the current year, calculate the price index
A
100
B
200
C
240
D
300
correct option: b
Users' Answers & Comments25
The money that commands a higher market value than its face value is called
A
paper money
B
standard money
C
commodity money
D
fiat money
correct option: d
Users' Answers & Comments26
The minimum amount which banks are required to deposit with the central bank is determined by the
A
liquidity ratio
B
cash reserve ratio
C
minimum lending rate
D
aggregate credit ceiling
correct option: c
Users' Answers & Comments27
The major function of money market is to
A
provide funds for long-term financing
B
provide funds short-term financing
C
stabilize the value of the local currency
D
stabilize domestic prices
correct option: b
Users' Answers & Comments28
An ad valorem tax is imposed on
A
special commodities
B
exports
C
imports
D
the value of a commodity
correct option: d
An ad valorem tax (Latin for "according to value") is a tax whose amount is based on the value of a transaction or of property. It is typically imposed at the time of a transaction, as in the case of a sales tax or value-added tax (VAT)
Users' Answers & Comments29
A huge national debt is an indication that the gold reserves of a nation has
A
appreciated
B
decreased
C
depreciated
D
stagnated
correct option: d
Users' Answers & Comments30
Rapid economic development in Nigeria is realizable by
A
continuous dependence on oil
B
concentrating more on agriculture
C
developing the tourism industry
D
diversifying the economy
correct option: d
Users' Answers & Comments