An industry is?
- A. company producing unrelated commodities
- B. group of firms producing related commodities
- C. group of firms producing distinct commodities
- D. firms producing differentiated commodities
To facilitate the exportation of crude oil from Nigeria, special?
- A. airstrips were constructed for jets to evacute the oil
- B. roads were built to connect the major oil wells to the ports
- C. pipelines were laid to connect the major oil wellsto the ports
- D. railway lines were constructed to connect the major oil wells to the ports
The losses suffered by a sole proprietor are?
- A. usually equal to the amount invested
- B. usually less than the amount invested
- C. limted to the amount invested
- D. not limited to the amount invested
A disadvantage of concentrating industries in an area is that it could?
- A. lead to conclusion among the firms
- B. result in evironmental pollution
- C. bring about diseconomies of scale
- D. increase the cost of production
In the agricultural sector, improved extension services facilitate?
- A. acquistion of techniques
- B. arable crop production
- C. mobility of labour
- D. livestock production
Which of the following is an example of a fixed cost?
- A. Fuel cost
- B. Electricity bill
- C. Rent on building
- D. Transportation cost
A major advantage of specialization and division of labour is that?
- A. time wastage will be minimized
- B. trade unions will be encouraged
- C. there will be a ready market for labour
- D. workers will be adequately rewarded
A production function relates?
- A. cost to output
- B. wages to profit
- C. cost to input
- D. output to input
An imperfect market exist where?
- A. the product is homogenous
- B. there is perfect information among sellers
- C. both buyers and sellers have free entry into and free exits from the market
- D. the location of some sellers gives them an advantage over others
If government fixes price below the equilibrium price, what effect will it have on demand?
- A. Quantity demanded and supplied will be equal
- B. Quantity supplied will be greater than quantity demanded
- C. Quantity demanded will increase
- D. Quantity demanded will decrease
An important feature of perfect competition is that?
- A. the movement of goods and services is restricted
- B. there is adequate knowledge of existing prices
- C. prices are centrally administered
- D. individual economic units can influence prices
The long run is a period during which a firm?
- A. sells inputs to purchase fixed assets
- B. varies all its inputs
- C. sources all its inputs from within
- D. replaces all its inputs
In the long-run, a monopolist maximized his profit when the marginal cost equals?
- A. total revenue
- B. marginal revenue
- C. average revenue
- D. price
Internal economies of scale are expected to bring about?
- A. an increase in short-run average cost
- B. an increase in long-run average cost
- C. a decrease in long-run average cost
- D. a decrease in short-run average cost
A firm’s shut-down point is reach when the average revenue fails to cover the?
- A. average variable cost
- B. marginal cost
- C. average total cost
- D. average fixed cost
A consumer’s scale of preference is an arrangement of his?
- A. scarce resources in order of importance
- B. needs in order of importance
- C. sources of income and their importances
- D. requirements and how to satisfy them
The fixing of the price of an item above or below the equilibrium price is most likely to take place in a?
- A. centrally planned economy
- B. free market economy
- C. developed economy
- D. mixed economy
If the arithmetic mean of 1,2,3,4,5,6,x, 16 and 18 is 8.0, find the value of x?
- A. 7.0
- B. 6.0
- C. 8.5
- D. 17.0
In a demand curve, the relationship between price and quantity is?
- A. indeterminate
- B. direct
- C. nil
- D. inverse
A vertical supply curve indicates that?
- A. the quantity supplied is responsive to price
- B. the same fixed quantity will be supplied no matter the price
- C. an increase in price will result in an increase in the quantity supplied
- D. there is a fixed price for the commodity below which no supply will be made
A major problem facing all economies is how to?
- A. increase consumption of imported goods
- B. improve trade among nations
- C. transform from a developing to a developed economy
- D. allocate scarce resources