1995 - WAEC Economics Past Questions and Answers - page 3

21
At optimum population level, a country has its
A
maximum population
B
ageing population
C
highest birth rate
D
highest output per heade
correct option: d
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22

Which of the following does not give a characteristics of money?

A
Durable
B
Portable
C
Divisible into small units
D
Generally acceptable
correct option: e

The characteristics of money are durability, portability, divisibility, uniformity, limited supply, and acceptability.

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23
Which of the following constitute the major components of money supply in a development economy?
A
Demand deposits
B
Paper money
C
Bank drafts
D
Coins
correct option: a
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24
A point along a consumer's indifference curve shows
A
the difference commodities he can consume
B
a combination of all commodities he is willing to buy
C
a combination of two commodities from which he derive the same satisfaction
D
the quantity of commodities demanded by him
correct option: c
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25
If a monopolist is attempting to maximize profit , which of the following should he attempt to do?
A
Equate average cost to average revenue
B
Equate marginal cost to marginal revenue
C
Equate marginal cost to average revenue
D
fix price and output
correct option: b
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26
The greatest foreign exchange earner for Nigeria before the advent of petroleum was
A
mining
B
handicraft
C
agriculture
D
manufacturing
correct option: c
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27
A budget is define as a
A
Summary of expected expenditure by individuals and government
B
summary of expected income
C
record of value of services rendered in a year
D
record of goods produced in a year
correct option: e
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28
The real value of money is
A
its face value
B
what it can buy ata a particular time
C
its rate of exchange with other currencies
D
its intrinsic worth
correct option: b
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29
A tax whose rate increases as income increases is
A
an indirect tax
B
a progressive tax
C
a regressive tax
D
a direct tax
correct option: b
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30
Which of the following best describes the multiplier?
A
products of income and expenditure
B
Curves of savings and expenditure
C
Ratio of change in income to the expenditure that brought it about
D
Constant level of income
correct option: c
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