The value of the total output produced within Nigeria by all residents (citizens and non-citizens) is referred to as the?
- A. gross national product
- B. disposable income
- C. national income
- D. gross domestic product
The difference between gross national product and net national product is equal to?
- A. gross investment
- B. net investment
- C. net foreign income
- D. capital depreciation
The group of people engaged in banking or insurance services by occupational distributions are classified as?
- A. primary producers
- B. secondary producers
- C. tertiary producers
- D. technical producers
Optimum population is the population level at which?
- A. death rate is at a minimum
- B. per capita income is at a maximum
- C. population is at a maximum
- D. death rate is equal to birth rate
International and inter-regional trade differ primarily because?
- A. comparative advantage is relevant to the former but not to the latter
- B. products flow across national boundaries
- C. there are different resources supplies among countries of the world
- D. of regulation from GATT
The law of comparative advantage states that a country should specialize in the production of a commodity
- A. for which local demand is greatest
- B. in which its oportunity cost is lower than that of the trade partner
- C. for which foreign demand is greatest
- D. for which there is abundant supply of raw materials
By using exchange controls, a country tries to eliminate a balance of payments deficit by?
- A. limiting her imports to its currency value of exports
- B. reducing the nation's domestic price level
- C. limiting her exports to its currency value of imports
- D. overvaluing the country's currency
A balance budget is defined as a condition of?
- A. balance of payments equilibrium
- B. equality of planned aggregate demand supply
- C. equality of planned receipts and planned expenditure
- D. equality of planned exports and planned imports
A perfect example of a public good is?
- A. air
- B. education
- C. water
- D. transport
The main objectives of public expenditure does NOT include?
- A. stabilization of national economy
- B. achievement of a more equitable income distribution
- C. meeting the social needs of the people
- D. revenue sharing and profit maximizationn
The three groups of government revenue are?
- A. investment income, direct tax and indirect tax
- B. imports duties, excise tax and export duties
- C. company tax, personal income tax and import duties
- D. company tax, import duties and excise tax
Government intervention in an economy is often justified on the group that?
- A. wants are unlimited while resources are scarce
- B. productivity is higher in the public than in the private sector
- C. free market may not work, or produce desirable results
- D. opportunity cost of government expenditure is zero
A tax is defined as regressive if?
- A. the proportion of income paid as tax increase as the income level increases
- B. all income group pay the same percentage of their income as tax
- C. the proportion if income taen by the tax falls as income increases
- D. the proportion of income taken by the tax is a fixed nominal amount of income for all income groups
Commercial bank reserves at the Central Bank have the effect of?
- A. controlling credit and money supply
- B. discouraging banking operations
- C. advancing trade prospects
- D. reducing bank frauds
The stock exchange market is where?
- A. businessmen borrow some capital
- B. the federal government trades on treasury bills
- C. existing bonds and stocks are traded
- D. new stocks and shares are bought or sold
Cost-push inflation is caused by?
- A. growth of government expenditure
- B. increase in factor prices
- C. increase in money supply
- D. hoarding
A major factor affecting the value of money is the?
- A. price level
- B. banking habit
- C. transaction motive
- D. divisible nature of money
The term ‘double coincidence ‘ of wants is usually associated with a?
- A. bilateral exchange mechanism
- B. monetary exchange mechanism
- C. stock exchange system
- D. barter exchange mechanism
Industries that can be randomly located are characterized by?
- A. relatively low transport cost for both raw materials and output and factor mobility
- B. relatively heavy transport cost for raw material or output
- C. constant returns to scale
- D. signficant economy of scale
A company is said to be highly geared if the?
- A. value of fixed interest loans is high compared with share capital
- B. Value of shared capital is high compared with fixed interest loans
- C. dividend rate is high
- D. interest rate is high
Which of the business organization listed below is characterized by limited authority and liability of the individual owners?
- A. Sole properitorship
- B. Partnership
- C. Joint stock company
- D. Co-operative society