Economics, 2014, WASSCE/WAEC MAY/JUNE, Exam, Paper 1 | Objectives

Paper Info

Year :

2014

Title :

Economics

Exam :

WASSCE/WAEC MAY/JUNE

Paper 1 | Objectives

11 - 20 of 47 Questions

#	Question	Ans
11.	A declining population is one in which the population is A. experiencing a high rate of emigration B. made up of large number of old people C. not producing enough goods D. not contributing enough to the national income Show Content Detailed Solution Emigration; is the act of leaving one's own country to settle permanently in another; moving abroad. A population decline (or depopulation) in humans is a reduction in a human population caused by events such as long-term demographic trends, as in sub-replacement fertility, urban decay, white flight, or rural flight, or due to violence, disease, or other catastrophes.	A
12.	Which of the following agencies help to stabilize farmers' income? A. Local government authorities B. Trade unions C. Marketing boards D. Co-operative organizations Show Content Detailed Solution A marketing board is an organization created by many producers to try to market their product and increase consumption and thus prices. It can also be defined as an organization set up by a government to regulate the buying and selling of a certain commodity within a specified area.	C
13.	Other things being equal, an increase in supply will lead to A. a fall in price and an increase in quantity bought and sold B. an increase in price and increase in quantity bought and sold C. a fall in price and a fall in quantity bought and sold D. an increase in quantity supplied and demanded only Show Content Detailed Solution A change in supply will cause equilibrium price and output to change inopposite directions. a. An increase in supply will cause a reduction in the equilibrium price and an inase in the equilibrium quantity of a good.	A
14.	Examples of joint stock banks are A. commercial banks B. co-operative credit societies C. central banks D. development banks Show Content Detailed Solution A joint-stock company is a business owned by people called shareholders. Each shareholder owns company stock in proportion to the number of their shares (certificates of ownership). An example of a joint stock company today is a business type that is somewhere between a partnership and a corporation.	A
15.	Which of the following is not a characteristic of a developing country? High A. real per capita income B. level of primary production C. population growth rate D. level of illiteracy Show Content Detailed Solution Common Characteristics of Developing Economies	A
16.	Goods consumed out of habit have A. elastic demand B. perfectly elastic demand C. inelastic demand D. unitary elastic demand Show Content Detailed Solution Inelastic demand in economics is when people buy about the same amount whether the price drops or rises.	C
17.	If the coefficient of price elasticity of demand is 0.1, demand is A. elastic B. inelastic C. zero elastic D. unitary elastic Show Content Detailed Solution The numerical values for the PED coefficient could range from zero to infinity. In general, the demand for a good is said to be inelastic (or relatively inelastic) when the PED is less than one (in absolute value): that is, changes in price have a less than proportional effect on the quantity of the good demanded.	B
18.	The profit of a producer is the difference between A. total cost and marginal cost B. total revenue and total cost C. average cost and total cost D. price and total cost Show Content Detailed Solution Total profit is determined by subtracting total costs from revenues. Total revenue is determined by multiplying the price received for each unit sold by the number of units sold.	B
19.	The rate of increase in utility is A. average utility B. increasing utility C. total utility D. marginal utility Show Content Detailed Solution In economics, utility is the satisfaction or benefit derived by consuming a product; thus the marginal utility of a goods or service is the change in the utility from an increase or decrease in the consumption of that good or service.	D
20.	The supply of tea is linearly presented as p = 0 . 2Q, where P is the price and Q is the quantity. What is P when Q = 25? A. $ 0.08 B. $ 5.00 C. $ 25.02 D. $ 125 Show Content Detailed Solution p = 0.2Q Q = 0.2Q (25) Q = \(\frac{0.2}{0.2} \times \frac{25}{0.2}\) = 125	D

11.	A declining population is one in which the population is A. experiencing a high rate of emigration B. made up of large number of old people C. not producing enough goods D. not contributing enough to the national income Show Content Detailed Solution Emigration; is the act of leaving one's own country to settle permanently in another; moving abroad. A population decline (or depopulation) in humans is a reduction in a human population caused by events such as long-term demographic trends, as in sub-replacement fertility, urban decay, white flight, or rural flight, or due to violence, disease, or other catastrophes.	A
12.	Which of the following agencies help to stabilize farmers' income? A. Local government authorities B. Trade unions C. Marketing boards D. Co-operative organizations Show Content Detailed Solution A marketing board is an organization created by many producers to try to market their product and increase consumption and thus prices. It can also be defined as an organization set up by a government to regulate the buying and selling of a certain commodity within a specified area.	C
13.	Other things being equal, an increase in supply will lead to A. a fall in price and an increase in quantity bought and sold B. an increase in price and increase in quantity bought and sold C. a fall in price and a fall in quantity bought and sold D. an increase in quantity supplied and demanded only Show Content Detailed Solution A change in supply will cause equilibrium price and output to change inopposite directions. a. An increase in supply will cause a reduction in the equilibrium price and an inase in the equilibrium quantity of a good.	A
14.	Examples of joint stock banks are A. commercial banks B. co-operative credit societies C. central banks D. development banks Show Content Detailed Solution A joint-stock company is a business owned by people called shareholders. Each shareholder owns company stock in proportion to the number of their shares (certificates of ownership). An example of a joint stock company today is a business type that is somewhere between a partnership and a corporation.	A
15.	Which of the following is not a characteristic of a developing country? High A. real per capita income B. level of primary production C. population growth rate D. level of illiteracy Show Content Detailed Solution Common Characteristics of Developing Economies	A

16.	Goods consumed out of habit have A. elastic demand B. perfectly elastic demand C. inelastic demand D. unitary elastic demand Show Content Detailed Solution Inelastic demand in economics is when people buy about the same amount whether the price drops or rises.	C
17.	If the coefficient of price elasticity of demand is 0.1, demand is A. elastic B. inelastic C. zero elastic D. unitary elastic Show Content Detailed Solution The numerical values for the PED coefficient could range from zero to infinity. In general, the demand for a good is said to be inelastic (or relatively inelastic) when the PED is less than one (in absolute value): that is, changes in price have a less than proportional effect on the quantity of the good demanded.	B
18.	The profit of a producer is the difference between A. total cost and marginal cost B. total revenue and total cost C. average cost and total cost D. price and total cost Show Content Detailed Solution Total profit is determined by subtracting total costs from revenues. Total revenue is determined by multiplying the price received for each unit sold by the number of units sold.	B
19.	The rate of increase in utility is A. average utility B. increasing utility C. total utility D. marginal utility Show Content Detailed Solution In economics, utility is the satisfaction or benefit derived by consuming a product; thus the marginal utility of a goods or service is the change in the utility from an increase or decrease in the consumption of that good or service.	D
20.	The supply of tea is linearly presented as p = 0 . 2Q, where P is the price and Q is the quantity. What is P when Q = 25? A. $ 0.08 B. $ 5.00 C. $ 25.02 D. $ 125 Show Content Detailed Solution p = 0.2Q Q = 0.2Q (25) Q = \(\frac{0.2}{0.2} \times \frac{25}{0.2}\) = 125	D