Which of the following is NOT a character of perfect competition?

A. Supply and demand are equal

B. Products are identical

C. There is perfect knowledge

D. There is no advertising

Inflation is likely to benefit_______

A. Debtors

B. Persons with back savings

C. Creditors

D. Persons who lived on fixed pension funds

When a nation's exports are greater than its imports,_________

A. The net foreign trade is zero

B. A favourable balance of trade exists

C. A favourable balance of payment exists

D. An unfavourable balance of trade exists

Surplus in balance of payments leads to ________

A. Government budget surplus

B. Increase in foreign reserves

C. Decrease in foreign reserves

D. None of the above

Economics may be defined as ________

A. The study of human behaviour in the allocation of scarce resources

B. The study of money and banking

C. The study of markets and prices

D. The study of production and distribution

Money becomes a very poor store of value in a period of _______

A. Harvest

B. Deflation

C. Recession

D. Inflation

In Nigeria, cheques are not money because________

A. Most Nigerians cannot identity them

B. They are not legal tender

C. There are no banks in rural areas

D. They are not generally acceptable as a medium of exchange

Division of Labour is limited by the________

A. Size of labour firm

B. Availability of raw material

C. Size of the labour force

D. Absolute size of the country's population

The value of money depends primarily on _________

A. The gold backing of the currency

B. The general price level

C. Government decree that it is legal tender

D. None of the above

In a free market economy. the rationing of scarce goods is done principally by_______

A. Consumers

B. The government

C. The price mechanism

D. All of the above