ECONOMICS 2022 UTME PAST QUESTION

1. A country embarks on deficit financing in order to

A. reduce aggregate demand
B. increase revenue
C. stimulate investment
D. curb inflation

2. The money market provides business firms with the avenue to

A. purchase goods and services
B. purchase capital equipment’s
C. obtain short- term funds
D. obtain long-term funds

3. The optimum level of output for pure monopolist occurs where

A. P is highest
B. P=AC
C. P=MC
D. MR=MC

4. According to the demographic transition theory, Africa can be said to be at stage

A. 2 and 3
B. 3 only
C. 2 only
D. 1 and 3

5. The Economic Community of West African States (ECOWAS) is an example of

A. globalization
B. regional marketing board
C. economic integration
D. economic union.

6. Given: 32, 18, 24, 17, 16, 32, 28, 68, 71 and 15, the mode of the distribution is

A. 71
B. 56
C. 32
D. 15

7. The major determinant of income elasticity of demand is

A. government policy
B. the availability of substitutes
C. the price of the good
D. the level of consumer's income

8. Given: 2, 4, 6, 8, 4 and 6, the absolute mean deviation is

A. 6.00
B. 1.67
C. 30.00
D. 0.60

9. The precautionary demand for money is determined by

A. the level of savings
B. the rate of interest
C. general price level
D. the level of income.

10. If the output of a firm experiencing economies of scale increases, the average cost would

A. be at minimum
B. rise
C. be at maximum
D. fall.

11. The demand curve for a normal good is negatively sloped because

A. price is an incentive to producers
B. price is an incentive to consumers
C. demand always exceeds supply
D. price and quantity move in the same direction.

12.The average total cost when 20 units are produced is

A. ₦45.30kg
B. ₦50.00kg
C. ₦47.50kg
D. ₦5.00kg

13. The major role of multinational companies in the Nigerian petroleum industry is

A. oil marketing only
B. oil marketing and prospecting
C. establishment of refineries
D. oil prospecting only.

14. Life insurance companies contribute to economic development by holding a part of their assets in

A. long-term financial instruments
B. equipment
C. cash and near money
D. money-market instruments.

15. The wage rate is mostly related to

A. marginal productivity of
B. average productivity of labour
C. marginal efficiency of investment
D. total productivity of Labour.

16. The choice of how to produce in a command economy is determined by

A. consumers
B. government
C. industries
D. labour unions.

17. The co-efficient of price elasticity of supply is

A. % change in supply/% change in price
B. % change in quantity supplied /% change in price
C. % change in quantity supplied /%change in income
D. % change in quantity demanded/%change in income

18. A change in supply of a commodity is due to a change in the

A. price of the commodity
B. cost of production
C. price of substitute
D. population growth rate.

19. In a limited liability company, the greatest risk is borne by the

A. preference shareholders
B. debentures shareholders
C. ordinary shareholders
D. board of directors.

20. A market characterized by absence of close substitutes of goods and services is an example of

A. a monopoly
B. an oligopoly
C. a perfect competition
D. a monopolistic competition.

21. An inflation that co-exists with high rate of unemployment is

A. hyperinflation
B. cost-push inflation
C. stagflation
D. demand-pull inflation.

22. The growth and development of small and medium scale enterprises in Nigeria is hampered by

A. poor regulatory framework
B. poor access to credit facilities
C. poor management
D. the small size of the market.

23. A major determinant of demand is

A. incentives to workers
B. level of technology
C. population
D. cost of production.

Which of the following can be used to measure the Gross National Product

A. C+I+G-F(X+M)
B. C+I+G+(X-M)
C. C+I+G+X
D. C+I+G

25. Find the median of the following set of data 35, 10, 14, 38, 15, 18, 22, 30 and28.

A. 10
B. 22
C. 38
D. 35

26.From the table above, determine the average product of the 5th unit of capital

A. 310.5
B. 176.5
C. 70.6
D. 62.0

27. The problem of what to produce is determined by

A. consumption pattern
B. the distribution pattern
C. the state of technology
D. the volume of production

28. The main function NNPC is to

A. develop the oil producing areas
B. oversee the development of the oil sector
C. ensure regular supply of products
D. fix the prices of petroleum products

29. A major feature of an underdeveloped economy is

A. low rate of population growth
B. excess capacity utilization
C. low level of unemployment
D. low level of standard living.

30. A tax on land will ultimately fall

A. partly on agents and users
B. partly on users and owners
C. entirely on owners
D. entirely on users.

31. The deregulation on the petroleum sector in Nigeria will bring about

A. efficiency in pricing and distribution of the products
B. fixing appropriate production quotas
C. an end to the importation of fuel
D. an end to foreign firms' dominance.

32. One of the ways of correcting a deficit balance of payments is to

A. devalue a country's currency
B. predenominate a country's currency
C. reduce imports
D. reduce exports.

33. A nation's net export is negative when her

A. export is adjusted upwards
B. external reserves deplete
C. depreciation exceeds investments
D. imports exceeds exports.

34. Given: Qd = 30 — 3P and Qs = 9P —15, determine the equilibrium price

A. ₦12.00
B. ₦3.75
C. ₦2.80
D. ₦3.00

35. The problem of economic development in Nigeria is that of

A. poor weather conditions
B. overpopulation
C. surplus skilled manpower
D. inadequate infrastructure.

36. The combination of two commodities that yield the same level of satisfaction is illustrated by

A. a budget line
B. an isocost curve
C. a production possibility curve
D. an indifference curve

37. The demand for inferior goods is inversely related to change in

A. income
B. price
C. supply
D. taste.

38. The minimum number of shareholders for partnership is

A. 7
B. 4
C. 2
D. 3

39. When diminishing returns sets in, the total variable cost begins to

A. rise at an increasing rate
B. fall at a decreasing rate
C. rise at a decreasing rate
D. fall at an increasing rate.

40. From the table above, the marginal product of the 7th Unit of Capital is

A. 80kg
B. 100kg
C. 310kg
D. 173kg