(a) Explain the term capital market.
(b) How is the capital market different from the stock exchange?
(c) What are the advantages of the capital market?
(a) Outline the main features of the Malthusian theory on population.
(b) Explain the developments that render the theory irrelevant to the present day situation.
Compare and contrast the private limited company with the public limited company.
(a) Explain the term national debt.
(b) State any four instruments of government borrowing in Nigeria.
Highlight the economic problems associated with the dependency of West African countries on primary production.
Price tends towards the level which equates supply with demand’. Explain this statement.
Use the data in the table below to answer the questions that follow;
| Age group | No of Students in thousands | |
| 1955 | 1960 | |
| 0 – 16 | 150 | 143 |
| 17 – 45 | 51 | 107 |
| 46 -60 | 29 | 33 |
| above 60 | 15 | 17 |
(a) What is the percentage increase in the working population between 1955 – 1960?
(b) Calculate the ratio dependent population to the working population in 1955.
(c) Calculate the ratio of dependent population to the working population in 1960.
(d) Has the dependency ratio increased or decreased between 1955 and 1960?
(a) What is meant by price elasticity of demand?
(b) The following figures are extracted from a schedule of demand and supply:
| Price | Quantity Demanded | Quantity Supplied |
| N9.00 | 1050 | 850 |
| N10.00 | 1000 | 1000 |
| N11.00 | 950 | 1150 |
(i) Calculate the elasticity of demand when price rises from N10.00 to N11.00.
(ii) State whether the demand in (i) above is elastic or inelastic.
(iii) Calculate the elasticity of supply when price falls from N10.00 to N9.00.
(iv) State whether the supply in (iii) above is elastic or inelastic
Under the ECOWAS agreement, a Nigerian can enter and stay in Ghana without a visa for a period of
- A. 14 days
- B. 30 days
- C. 60 days
- D. 90 days 100 days
The Quantity Theory of Money state that an increase in the quantity of money would bring about
- A. a geometrical rise in price
- B. an unequal rise in prices
- C. a proportionate rise in prices
- D. an absolute rise in prices
- E. a less that proportionate increase in prices
The magnitude of the national income of a country depends on all the following except the
- A. quantity of natural resources available
- B. level of technical know-how
- C. mobility of labour
- D. level of productivity
- E. quality and quantity of factors of production
Tax evasion in Economics means
- A. false declaration od assets
- B. paying tax only as and when due
- C. declaration of assets
- D. tax payments according to income received
- E. quarrelling with tax collector
Abstention from consumption enables capital to be produced . Such abstention is called
- A. savings
- B. production
- C. accumulation
- D. factors of production
- E. opportunity cost
Factory buildings, machinery and raw materials are known in Economics as
- A. personal wealth
- B. social wealth
- C. government wealth
- D. business wealth
- E. public wealth
Limited liability means that
- A. the debt of a company can only be paid from its own assets
- B. the debts of a company are paid from business as well as private funds of the owners
- C. a company does not have to pay its debts
- D. the debts of a company must be paid from a private funds only
- E. government cannot tax a company
Under normal circumstances, a producer will bear the entire burden of taxation on his output if the
- A. supply of his goods is more elastic than the demand
- B. demand for his products is completely elastic
- C. production of his commodity is subject to diminishing returns
- D. demand for his products is more elastic than the supply
- E. demand for his products is completely elastic
When a firm’s total revenue is at the maximum , marginal revenue is
- A. at the maximum
- B. negative
- C. zero
- D. positive
- E. constant
If successive unit of labour are added to a piece of land while capital and technology remains constant, a point will be reached in the level of production when each additional unit of labour will add less to the output than previous units. This concept is known as
- A. productivity of labour
- B. law of diminishing marginal utility
- C. law of diminishing returns
- D. law of diminishing returns of a variable factor
- E. internal economies of sales
Risk bearing and managerial control are the main function of the
- A. managing director
- B. manager
- C. entrepreneur
- D. chief excecutive
- E. chief accountant