Ajanka, a medical student entitled to an annual allowance of N6,000, decides to leave the university to take up a job where he earns N7,000 per annum. By this singular act, the national income level will?
- A. increase by N1,000
- B. decrease by N 7,000
- C. increase by N7,000
- D. increase by N 13,000
Which of the following is mostly used to determine the cost of living?
- A. Marginal changes in prices
- B. Consumer price index
- C. Prices of imported and exported commodities
- D. producer price index
Which of the following is the cheapest for the government in improving the welfare of its citizens?
- A. Subsidy
- B. Income supplement
- C. Donation to specific projects
- D. Wages increase
One method through which the Central Bank can restrict the commercial banks’ power of credit expansion is to?
- A. demand for increased special deposit
- B. decrease the cash ratio
- C. buy securities in the open market
- D. reduce the rate of interests at which banks borrow from it
A bank is said to be distressed when it?
- A. is unable to deal with the Central Bank
- B. has a low level of capital base
- C. has low level of deposits
- D. experiences serious liquidity crisis
The best method to curb inflation in Nigeria is to
- A. reduce importation of commodities
- B. increase the general level of production
- C. reduce the volume ofmoney supply
- D. set up price control boards
The sharp increase in the prices of most goods and services during the last quarter of 1994 in Nigeria were mainly due to?
- A. ban on importation of foreign goods
- B. population upsurge
- C. the introduction of value-added tax
- D. increase in transport costs
the Central Bank’s expansionary monetary policy is justified at a period?
- A. when the inflation rate is high and the economic is experiencing a boom
- B. of economic depression accompanied by low capacity utilization
- C. when trade unions are clamouring for higher wages
- D. when price of crude petroleum is rising
The most important goal of OPEC is to?
- A. present a united front for the purpose of raising the price of crude oil
- B. bring unity among the petroleum exporting states
- C. ensuring political stability among member states
- D. ensure that rules on quota producion are strictly followed
The major source of Nigeria’s foreign exchange is the export of?
- A. skilled manpower
- B. palm kernel and cocoa
- C. crude oil
- D. groundnuts and cotton
When compared with a labour-intensive industry, a capital-intensive industry employs more?
- A. workers than capital
- B. workers than machinery
- C. raw materials than capital
- D. machinery than workers
Infant industries denote industries which?
- A. are introducing new products
- B. are too young to compete in the world market
- C. produce baby food and mother care products
- D. are allowed time enough to mature for recognition
The crucial factors which determine the location of petroleum refineries in Nigeria are availability of raw materials and?
- A. capital
- B. political consideration
- C. nearness to source of power
- D. labour
The government can influence the price of agriculture products by?
- A. fixing minimum prices when agricultural output is low
- B. fixing maximum prices in years of bumper harvest
- C. the use of buffer stock and stabilization funds
- D. paying all farmers producing identical crops a uniform amount of money
In recent times, agriculture in Nigeria tends to lose its vital labour force as a result of?
- A. lack of an effective agricultural policy
- B. employment opportunities in the oil sector
- C. rural-urban drift
- D. low prices of agricultural products
Which of the following statement are TRUE of agriculture in Nigeria? (i) it provides food for the growing population?
(ii) A large proportion of the population is engaged in agriculture.
(iii) Agriculture products are used as raw materials by the local industries.
(iv) It serves as sources of heavy equipment to local industries.
- A. i and ii only
- B. i,ii and iii only
- C. i, ii and iv only
- D. ii and iii only
When public enterprises become commercialized, it means that?
- A. the product of the enterprises are further subsidized
- B. they are expected to operate with the primary aim of making profits
- C. the government has decided to divest itself of such enterprises
- D. the staff of the enterprises will be laid off
One of the major advantages of public enterprises is that?
- A. they are highly subsidize
- B. they are the largest employers of labour
- C. their operations are highly standardized
- D. they take prompt decisions and actions
The major reason for the survival of small shops despite competition from large business enterprises is because of?
- A. the small capital outlay involved
- B. regularity and constant supply of commodities by them
- C. their local srvices and longer hours of operation
- D. their level of managerial competence
In a joint stock company, preference shareholders are those who receive?
- A. high dividends when profits are high and little or nothing when profits are low
- B. a fixed rate of individend and have the first claim on the net profits of the company
- C. the remaining profits after all other shareholders have been paid
- D. dividends quarterly when others receive annually
Stocking small quantities of a variety of goods is a function of the?
- A. manufacturer
- B. wholesaler
- C. retailer
- D. consumer