If a government wants to reduce the level of inflation, it will?
- A. run a budget surplus
- B. run a budget deficit
- C. run a balanced budget
- D. borrow more money
When an indirect tax is levied on the producer of a good, the burden on the consumer will depend largely on the?
- A. elasticity of demand for the good
- B. proportion of the consumer's income spent on the good
- C. elasticities of demand and supply of the commodity
- D. availability of substitiutes for the commodity
An increase in government expenditure will lead to?
- A. investment opportunities for foreign investors
- B. an increase in the level of aggregate demand
- C. an increase in total tax revenue
- D. reduction in total tax revenue
A rise in the market price of fixed interest securities is an indication that the?
- A. supply of money has decreased
- B. liquidity preference has increased
- C. market rate of interest has risen
- D. market rate of interest has fallen
An issue of bank-notes not backed by gold but by government securities is known as?
- A. fiduciary isssue
- B. guaranteed money
- C. seignior age
- D. legal tender
If the reserve requirement for commercial banking in Nigeria were 30%, a commercial bank which receives an initial cash deposit of N3000 is in a position to lend out?
- A. N9,000
- B. N3,330
- C. N2,770
- D. N2,100
Which of the following is true about the value of money?
- A. it varies inversely with the price level
- B. it varies directly with the price level
- C. it depreciates in the period of deflation
- D. it is not affected by the price level
One of the techniques of monetary control used by the Central Bank of Nigeria is?
- A. selective credit control
- B. budget deficit
- C. foreign exchange control
- D. monitoring the general price level
Crude petroleum is a good example of a?
- A. lasting asset
- B. wasting asset
- C. synthetic product
- D. costless resources
The petroleum industry in Nigeria is?
- A. the sole source of the nation's revenue
- B. the oldest industry in the country
- C. the mainstay of the economy
- D. a factor in the decline in the nation's foreign reserves
Export-promotion policy is primary concerned with the?
- A. processing of raw materials to increase their value
- B. making of international routes safe for export commodity
- C. reduction in the number of imported items
- D. encourage of the production of export commodities
In many developing countries, infrastructural problems is acute due to the shortage of?
- A. industries and industrial equipment
- B. savings, investment and consumption
- C. natural resources for development
- D. supporting services that encourage economic activities
A factor that influences the location of a firm near its market is the?
- A. transportation of bulky raw materials
- B. external economies
- C. high cost of transporting finished goods
- D. availability of skilled manpower
An entirely domestic effort directed at improving agricultural production in Nigeria is the?
- A. Agricultural Development Programme
- B. Agro-industrial Development Scheme
- C. Food and Agricultural Organization
- D. National Land Development Authority
The sector that employs the largest proportion of the active labour force in Nigeria is the?
- A. oil sector
- B. federal civil services
- C. financial sector
- D. agricultural sector
Which of the following can have their shares quoted on the stock exchange?
- A. Public corporations
- B. A partnership
- C. A consumer corporative
- D. A public limited liability company
One form of business organization which is not motivated solely by the profit objective is the?
- A. joint stock company
- B. private limited company
- C. co-operative society
- D. ordinary partnership
Liquidation of limited liability company implies that the?
- A. company may not pay its debt
- B. debts of the company can only be paid from its own assets
- C. debts of the company are paid from both business and private funds of the owners
- D. debts of the company musts be paid from public funds only
Unlike the retailer, the wholesaler provides?
- A. useful information to the manufacturer about consumers'taste
- B. after-sales services to the consumers
- C. useful information to the costumers on the benefits and uses of the product
- D. useful information about market trends and finance to the manufacturer
The producer in a perfectly competitive market is faced with a demand curve whose elasticity is?
- A. unitary
- B. greater than one
- C. infinite
- D. less than one
Given that the elasticity of demand for a commodity is 2.5, the percentage change in the quantity demanded as a result of a 10 percent change in it price is?
- A. 0.25
- B. 0.40
- C. 4.00
- D. 25.00