An nation’s distribution of income shows?
- A. the value of all goods produce inthe economy
- B. how income is divided among different groups
- C. where the economy system is on its production possibility curve
- D. the consumption behaviour of the people
Which of the following strategies will provide more employment opportunities for Nigerians?
- A. Investment in social services
- B. Industrialization
- C. Economics planning
- D. Eradication of illiteracy
The difference between the Gross Domestic Product and the Gross National Product is?
- A. allowance for total depreciation
- B. total interest payments
- C. total tax and interest payments
- D. net income from aboard
Which of the following methods is most likely to lead an economy?
- A. An increase in wages and profits
- B. An increase in consumer demand
- C. A greater fraction of national Product going into investment
- D. A countinuous rise in bank loans
ECOWAS will enable the countries involved to achieve
- A. comparative political advantage over other countries not in the region
- B. a large market for their products
- C. military superiority over countries not in the region
- D. lower the transportation codt of goods wthin the region
A society which forgoes present consumption
- A. is forced to do so because of excessive consumption within the country in the past
- B. is devoting new resources to new capital formation
- C. is merely devoting resources to the replacement of capital
- D. expects to consume only that amount tomorow which was forgone today
The term of trade often measured by the ratio of the index of export
- A. divided by the index of import prices multiplied by 100
- B. multiplied by the index of import prices
- C. plus the index of import prices multiplied by 100
- D. minus the index of import prices
The term balance of trade, can be defined as the?
- A. relation between value of exports and value of imports over a given period of time
- B. balance owed to the rest of the world in payment for imports
- C. price paid for imports in term of exports
- D. relation between payments of all kind made by a country to the rest of the world, over a given period of time
Balance of payment deficit in Nigeria CANNOT be solved by
- A. importing more goods and services
- B. devaluation of the currency
- C. imposing import duties
- D. imposing import bans on some commodities
In international trade, a country specializes in the production of a commodity or group of commodities for which it has?
- A. a buoyant market
- B. plenty of raw materials
- C. the greatest relative advantage
- D. executive manpower
Tax incidence is the analysis of?
- A. how progressive a tax is
- B. how a tax is collected
- C. hw distorting a tax is
- D. who ultimately pays the tax
The best technical description of a progressive tax is a?
- A. tax which takes more money from the rich than from the poor
- B. more equitable tax than aggressive one
- C. tax which takes a higher proportion of extra naira received as income rises
- D. tax which falls directly on those in the high income brackets
Which of the following is NOT a goal of modern budgets?
- A. The control of inflation
- B. The reduction in income inequality
- C. The shift of all resources from the private to the public sector
- D. Economic development
Which of the following causes of inflation is related to demand-pull inflation?
- A. Low productivity on farms and in firms
- B. Poor storage facilities
- C. Poor distribution system
- D. Increase in expenditure on construction
Deflation is a persistent fall in the general price level and is usually caused by?
- A. a reduction in total demand
- B. an increase in government spending
- C. an increase in the money supply
- D. an increase in aggregate demand
The most important economic characteristic differentiating commercial banks from other financial institutions is their?
- A. function as a safe and profitable store place for savings
- B. role in financing balance of payment deficits
- C. status as an intermediary between savers and borrowers
- D. ability to create and destory money
Given that the cash reserve ratio is 10 percent, what is the maximum amount of that the banking system can create from an initial cash deposit of N1,000.00?
- A. N100.00
- B. N1,000.00
- C. N9,000.00
- D. N10,000.00
Gresham’s law in economics shows that
- A. bad money drives good money out of circulation
- B. good money drives bad money out of circulation
- C. gold must be available to maintain the value of paper money
- D. the price level varies directly with the quality of money
Which of the following is used by the Central Bank to control the rate of interest?
- A. Bill of Exchange
- B. Banker's order
- C. Fixed deposit account
- D. Open market operation
To control inflation, the monetary authorities of a country can?
- A. reduce taxes
- B. advise government to increase its expenditure
- C. engage in expansive monetary policy
- D. engage inrestrictive monetary policy
The Nigeria Bank for Commerce and Industry is?
- A. a commercial Bank
- B. a developmment bank
- C. an industrial bank
- D. a merchant bank