The group of unemployed members of a community who are physically handicapped or disabled, is generally classified under unemployment as?
- A. frictional
- B. cyclical
- C. residual
- D. hidden
Collectivism refers to the system of management of state enterprises in a?
- A. mixed economy
- B. co-operative organization
- C. capitalist economic system
- D. socialist economy
An increase in an economy’s productive capacity implies?
- A. an increase in the economy's rate of capital replacement
- B. an increase in the economy's capital stock
- C. a decrease in government spending
- D. an increase in government spending
The most threatening problem for the less developed countries is?
- A. the continual depletion of their soil fertility
- B. the rise of nationalism
- C. population explosion
- D. their differences towards economic growth
If technology becomes less capital-intensive, it means?
- A. an increase in the capital/labour ratio
- B. an increase in the capital/ratio
- C. a fall in the labour/capital ratio
- D. increased unemployment
In estimating the national income of a country, the three approaches usually adopted are the?
- A. expenditure, value-added and output
- B. income, final product and output
- C. expenditure,income and output
- D. avoiding of double counting, final expenditure and value added
Which of the following items is subtracted when computing Gross National Product at factor cost, by the expenditure method?
- A. Consumption expenditure
- B. Indirect taxes
- C. Exports and property income from abroad
- D. Gross Domestic Fixed Capital Formation
If aggregate income is N500.00 and aggregate consumption is N400.00, this means that the average propensity to consume is?
- A. 0.20
- B. 0.80
- C. 1.25
- D. 2.00
The Malthusian theory of population predicts that growth in food production will?
- A. keep pace with population growth
- B. be at a faster rate than population growth
- C. be at a slower rate tthan population growth
- D. be more rapid than population growth in the developing countries
Deficit financing is mostly facilitated by the existence of?
- A. stock exchange market
- B. commercial bank
- C. central bank
- D. capital market
Which of the following is a good example of invisible item on balance of payments account?
- A. Shipping and aviation
- B. Export and imports
- C. Merchandise
- D. Bullion
When a nation is experiencing balance of payment surplus, it is in a better position to?
- A. increase its foreign exchange reserves
- B. increase its liabilities to foreigners
- C. reduce its foreign exchange reserves
- D. devalue its national currency
Which of the following would most likely be considered an example of benefit taxation?
- A. Excise tax
- B. Corporate income tax
- C. Property tax
- D. Highway-user tax
Which of the following is a direct tax?
- A. Sales tax
- B. Purchase tax
- C. Export duties
- D. property tax
Merchants banks perform all the following functions EXCEPT?
- A. raising of capital for industry
- B. provision of current account facilities
- C. management of investment portfolios
- D. provision of credit for overseas trade
The rate at which money changes hands is known as the?
- A. rate of inflation
- B. velocity of transactions
- C. velocity of money
- D. velocity of circulation
In any economy, what is used as money is determined by?
- A. government acceptance commodity standard
- B. government acceptance of an inconvertible paper standard
- C. laws and customs
- D. its use as a store of value
Which of the following factors enhances the ability of commercial banks to create money?
- A. Reduction in the reserve ratio
- B. Leakage of cash out of banking system
- C. excess of reserves
- D. Insistence on collateral security
Restriction on credit creation by commercial banks can be effected through?
- A. an overdraft
- B. loans and advances
- C. demand deposits
- D. liquidity ratio
Localization of industries refers to the?
- A. tendency to concentrate industries in particular areas
- B. sitting of industries in certain areas
- C. deliberate policy of influencing location of industries generally
- D. zoning of industries
Under partnership, investors who have no desires to be actively involved in the day-to-day management of such organization, are called?
- A. stockholders
- B. sleeping partners
- C. part-time investors
- D. ordinary partners