2019 - JAMB Economics Past Questions and Answers - page 2

Arithmetic

Mean

=

∑X N

,

where N = Number of observation and X is observations
Therefore;

5 + 8 + 10 + 15 + 24 + 28 6

 

=

90 6

=

15

Inductive reasoning from basic facts of an event because makes use of mathematical & statistical computations, it draws conclusion.

where L = money demand, μ = money supply
Thus μ = LT(γ) + Ls(r)

The money market is in equilibrium when the demand and supply of money are equal i.e L= u

Stagflation is a term used in economics to describe a situation where the inflation rate is high, the economic growth rate slows down, and unemployment remains high. This combines "stagnation" (slow economic growth and high unemployment) and "inflation" (rising prices).

The correct answer is credit ceiling. Here's why: * **Credit ceiling:** This is a monetary policy tool directly used by the central bank to limit the amount of credit commercial and merchant banks can extend to the domestic economy. It sets a maximum limit on lending. * **Monetary policy:** This is the broader set of actions undertaken by the central bank to manipulate the money supply and credit conditions to stimulate or restrain economic activity. While credit ceilings are part of monetary policy, they are not the policy itself. * **Fiscal policy:** This involves government spending and taxation, not the central bank's control over bank credit. * **Open market operation:** This is a tool of monetary policy where the central bank buys or sells government securities to influence the money supply. While open market operations can affect

The use to increase interest rate and reduce investment so as to control inflation in an economy is known as Restrictive Monetary policy or also known as contractionary Monetary policy.

A scale of production set the size of plant, the number of plants installed and the technique of product is known as Economics of scale. In the short-run, there is no time for the plant to expand while in the long-run, there is enough time for the firm to expand its size of plant which makes the AC α MC shape flatter.

What shows the cost per unit of any chosen output is the Average cost

From what is seen in diagram, the shape is near the bend i.e Curvature at point A and point B (point of Origin).

Consistency and transitivity of choice