A constraint on the expansion of a firm is the
- A. Rate of advertisement
- B. Level of producers income
- C. Tastes of the consumers
- D. Size of the market
The law of demand can be expressed as
- A. P = f(Q d)
- B. Q d = f(\(\frac{1}{p}\)
- C. P = f(\(\frac{1}{Q_d}\)
- D. Qd = f(P)
The price index is calculated as
- A. \(\frac{\text{weighted price}}{\text{current price}}\) x \(\frac{100}{1}\)
- B. \(\frac{\text{base year price}}{\text{current price}}\) x \(\frac{100}{1}\)
- C. \(\frac{\text{current price}}{\text{weighted price}}\) x \(\frac{100}{1}\)
- D. \(\frac{\text{current price}}{\text{base year price}}\) x \(\frac{100}{1}\)
\(\begin{array}{c|c}
\text{Number of Men} & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 \\
\hline
\text{Total product(Unit)} & 200 & 440 & 540 & 600 & 640 & 660 & 660 & 640 \\
\hline
\end{array}\)
What is the average product when 3 men are employed?
- A. 120 units
- B. 540 units
- C. 100 units
- D. 180 units
A point P, the marginal rate of substitution is
- A. less than one
- B. greater than one
- C. zero
- D. unity
A movement from K to M will
- A. decrease the consumer's utility
- B. increase the price of the commodity
- C. increase the consumer's utility
- D. leave consumer's utility unchanged
The diagram above shows the effect of
- A. excess demand over supply at q3
- B. excess supply over demand at q2
- C. minimum price legislation at P2
- D. maximum price legislation at P2
If the price per unit is N2, what is the average revenue when 6 men are employed?
- A. N220
- B. N120
- C. 110
- D. N330
Product differentiation in monopolistic competition implies that
- A. different buyers pay different prices for the same product
- B. different products are sold to the same buyer
- C. sellers determine whom to sell their products to
- D. the same product is available in different forms
A perfectly competitive firm is advised to close down when the
- A. price is below the marginal cost
- B. price is equal to the marginal revenue
- C. marginal revenue is equal to the marginal cost
- D. price is below the average variable cost
If the short-run cost curve of a firm is U-shaped, the marginal and average cost are equal where the
- A. average variable cost is minimum
- B. marginal cost is falling
- C. average cost is minimum
- D. average fixed cost is falling
The market structure in which there is interdependence of price-output policies is
- A. a pure monopoly
- B. an oligopoly
- C. a pure competition
- D. a monopolistic competition
The only factor of production that plays an active role in the production process is
- A. land
- B. capital
- C. entrepreneur
- D. labour
A rising short-run average cost is a result of
- A. economies of scale
- B. falling marginal costs
- C. diminishing returns
- D. rising fixed costs
The marginal productivity theory applies in a
- A. unionized labour market
- B. perfectly competitive market
- C. monopsonistic market only
- D. monopolistic market only
The major problem of conducing a census in Nigeria is
- A. inadequate skilled personnel
- B. financial constraint
- C. urban congestion
- D. lack of political will
The term ‘oil shock’ is used to describe a situation in which
- A. the demand for oil exceeds its supply
- B. oil prices have fallen drastically
- C. the demand for oil is equal to ite supply
- D. the supply of oil exceeds its demand
Minimum wage legislation will result in
- A. reduced income
- B. greater supply labour
- C. reduced labour productivity
- D. greater demand for labour
A major factor militating against rapid industrialization in Nigeria is
- A. inadequate skilled manpower
- B. poor market facilities
- C. poor transport facilities
- D. epileptic power supply
If children and the aged dominate the population of a country, this results in
- A. a reduction in the importation of capital goods
- B. a fall in the standard of living
- C. an increase in the national income
- D. an improvement in the standard of living
The oil-producing area in Nigeria are agitating for special compensation owing mainly to
- A. the high level of poverty
- B. the high level of unemployment
- C. constant flooding
- D. environmental pollution