2014 - WAEC Economics Past Questions and Answers - page 4

Limited resources and a larger population puts pressures on the resources that do exist. More people means more mouths to feed, more health care and education services to provide, and so forth. So, population can be a mixed bag.

Seasonal unemployment occurs when people are unemployed at particular times of the year when demand for labour is lower than usual.

Reasons for importing goods might include:

• Meeting customer demand.
• Sourcing products that don't exist in the country's borders.
• Cost of importing is lower than the cost of manufacturing.
• Quality of the product is better when imported.

It strives to ensure the international monetary system's stability. The IMF functions in three main areas: overseeing the economies of member countries, lending to countries with balance of payments issues and offering technical assistance to its member countries.

Marginal utility is the slope of the total utility curse. At maximum point slope of total utility is equal to zero. Therefore the marginal utility is also zero when total utility reaches its maximum level. Total utility is the sum of utility which consumer gains from consumption of certain goods and services.

A movement along a given demand curve caused by a change in demand price. The only factor that can cause a change in quantity demanded is price. A related, but distinct, concept is a change in demand. This change in quantity demanded is caused by a change in the demand price.

The devaluation or depreciation of currency tends to raise the price level in the country and thus increase the rate of inflation. This causes the exports of goods to increase and reduces the supply and availability of goods in the domestic market which tends to raise the domestic price level.

International trade allows countries, states, brands, and businesses to buy and sell in foreign markets. This trade diversifies the products and services that various countries offer thereby providing an international market for local goods.

Merchant Bank; a bank dealing in commercial loans and investment.