Economic freedom is a basic feature of economy
- A. an industrialized economy
- B. a planned economy
- C. a developed economy
- D. a market economy
When the marginal utility of a commodity is zero the total utility is
- A. at its minimum
- B. upward-sloping
- C. downward-sloping
- D. at its maximum
An inverse relationship between price and quantity demanded implies that
- A. the two variables change in opposite directions
- B. the two variables change in the same direction
- C. only one variable changes
- D. the two variables remain unchanged
A buyer who haggles in the market is applying the principle of
- A. choice
- B. price mechanism
- C. opportunity cost
- D. utilty maximization
If the marginal utility of the last unit of commodity X at N2 is 16 and that of commodity Y at N 4 is 24, the consumer will be at equilibrium when
- A. the price-quantity ratios are equal
- B. equal amounts of X and Y are consumed
- C. less of Y and more of X are consumed
- D. less of X and more of Y are consumed
The technical relationship between input combination and maximum attainable output is called
- A. a production function
- B. an indifference curve
- C. an isocost
- D. an isoquant
The hoarding of goods is usually experienced when
- A. supply is greater than demand
- B. the market price above the equilibrium price
- C. demand is greater than supply
- D. excess demand is greater than excess supply
Under perfect competition, the short-run supply curve of a firm is determined by its
- A. total cost curve
- B. marginal cost curve
- C. average fixed cost curve
- D. average cost curve
In a car assembly plant, division of labour is demonstrated by
- A. assigning each worker to a specific activity
- B. assigning each worker a given number to produce
- C. increasing the daily output
- D. producing a specific model
An example of a long-run cost of a firm is
- A. fuel and maintenace cost
- B. the planned size of plant equipment
- C. the existing size of plant and equipment
- D. rent on buildings
An increase in the quantity supplied of commodity suggests
- A. a leftward shift of the supply curve
- B. a rightward shift of the supply curve
- C. a movement along the supply curve
- D. an increase in elasticity of supply
For a firm to break even in the long run, the marginal cost curve must cut the
- A. average variable cost curve at its higest point
- B. average cost cure at its lowest point
- C. average cost curve at its lowest point
- D. total cost cure at its lowest point
Long-run production is called
- A. diminsihing returns to scale
- B. returns to scale
- C. external economies of scale
- D. economies of scale
The distinction between onshore and offshore operations in oil exploration lies in the
- A. location of sites
- B. output generated
- C. size of production
- D. techniques of production
Agricultural backward-linkage effect means the establishment of
- A. subsidiary industries to increase the number of industries
- B. main industries to increase output
- C. industries to reduce imports
- D. subsidiary industries to feed the main industry
If the death rate of a country is 52% and the growth rate is 12%, what is the birth rate of the county
- A. 48%
- B. 64%
- C. 40%
- D. 52%
Localization of industries in Nigeria is mainly influenced by
- A. market size
- B. population groupings
- C. raw materials
- D. external economies
During a conflict between management and workers, the union’s bargaing power is based on
- A. work-to-rule
- B. negotiation
- C. picketing
- D. management decision
The major contribution of the petroleum industry to the Nigerian economy is the
- A. generation of revenue for the oil companies
- B. provision of employment opportunities for communites
- C. generation of revenue for government
- D. promotion of industrial harmony
The short-run inelasticity of supply of agricultural produce causes
- A. stability in prices
- B. a steady rise in prices
- C. a steady decline in prices
- D. instability in prices
Population density is described as the
- A. average number of people per square kilometre
- B. average number of people in a country
- C. total population excluding migration
- D. total population including net migration