Give five reasons for the continued existence of the Organization of Petroleum Exporting Countries (OPEC). [20 marks]
Explain any five objectives of the Economic Community of West African States (ECOWAS). [20 marks]
(a) With the aid of a diagram, explain the effects of fixing a price (i) above the equilibrium price,
(ii) below the equilibrium price [5 marks each]
(b) (i) What is an abnormal demand? [4 marks] (ii) Give two reasons for its occurrence [6 marks]
(a) What is (i) devaluation: (ii) depreciation of currency? [4 marks each]
(b) Outline three measures that can be adopted to correct balance of payments deficit [12 marks]
(a) What is a capital market? [5 marks]
(b) Describe any three instruments used in the capital market. [15 marks]
(a) Distinguish between the following pairs of cost concepts.
(i) Fixed cost and variable cost. (ii) Real cost and money cost
(iii) Implicit cost and explicit cost. [5 marks each]
(b) (I) What would you recommend to a firm whose average cost is greater than its price? [2 marks]
(ii) Give a reason for your answer In (b)(i) above. [3 marks]
(a) With examples. distinguish between direct and indirect tax, [8 marks]
(b) Explain any four problems of tax collection in any West African country. [12 marks]
(a) Define labour [4 marks]
(b) Give four factors that affect the efficiency of labour in your country. [16 marks]
(a) Outline the chain of distribution for manufactured consumer goods. [4marks]
(b) Explain the functions of the (i) wholesaler; (ii) retailer. [8 marks each]
(a) Why is scarcity a fundamental problem in Economics? [6 marks]
(b) Give a reason on why Economics is a (i) science; (ii) social science [3 marks each]
(c) How do governments solve the problem of scarcity? [8 marks
A village consists of twenty (20) households with the following annual incomes-
(Incomes $00) 30 20 50 40 60 40 40 50 20 60 80 40 20 20 70 40 70 30 40 80
(a) Determine the (i) mean income: [4 marks] (ii) modal income; [ 2 marks] (iii) median income. [2 marks]
(b) What is the range of income distribution? [2 marks]
(c) Calculate the total tax that could be generated from the village if (i) a flat rate tax of 7% is imposed on all households; [5 marks] (ii) a flat rate tax of 15% is imposed on all households earning $4,000 per annum and above. [5 marks]
The table below shows the natural growth gowth rate of the population of country N over a period of time. Use the information contained in the table to answer the following questions.
| Year | Birth Rate per ‘000 | Death Rate per ‘000 | Natural Growth Rate |
| 1971 | 45 | 32 | L |
| 1972 | 39 | P | 12.50 |
| 1973 | 26 | 22 | Q |
| 1974 | R | 22.50 | 4.50 |
| 1975 | 26.50 | 22.50 | S |
| 1976 | 20.50 | T | 3.00 |
(a) Determine L. P, Q, R, S and T. [6 marks]
(b) With the use of a bar chart, graphically present the changes in the natural growth rate over the years. (Use of graph sheet is essential) [8 marks]
(c) Outline any three reasons for changes in birth rate. [6 marks]
The headquarters of the African Development Bank (ADB) was originally located at
- A. Cotonou
- B. Harare
- C. Abidjan
- D. Lagos
The five countries that established the Organization of Petroleum Exporting Countries (OPEC) are
- A. Nigeria, Iraq, Venezuela, Kuwait and Ghana
- B. Saudi Arabia, Kuwait, Sierra Leon, Iran and Iraq
- C. Algeria, Kuwait, Venezuela, Iran and The Gambia
- D. Kuwait, Venezuela, Iran Iraq and Saudi Arabia
One major aim of a cartel is to
- A. increase production
- B. regulate output through quota system
- C. have a joint account
- D. share profits equally
Expenditure by foreign tourist in a country will be recorded as
- A. visible exports
- B. official transfers
- C. transfer income
- D. divisible exports
The terms of trade is described as unfavourable when
- A. the price of imports rises relative to those of exports
- B. the price of exports rises relative to those of imports
- C. the net income from aabroad does not change
- D. the value of exports exceeds those of imports
Terms of trade may be define as the
- A. trade between one country and another
- B. relationship between country's receipt from others and payment to others
- C. rate at which a country's export exchange for imports
- D. different between the value of export and imports
Economic development is reflected in the
- A. scarcity of capital
- B. increase in the price level
- C. decline in the agricultural production
- D. increase in productive capacity
The need for development planning arises largely from the fact that
- A. aggregate savings exceeds aggregate consumption
- B. aggregate consumption equals aggregate savings
- C. productive resource are in excess of the demand for them
- D. productive resource are scarce relative to the demand for them
Fiscal policy is associated with
- A. taxation and government expenditure
- B. re-structuring of the banks
- C. injection of more money into the economy
- D. reduction in economic activities