JAMB Economics Questions and Answers for 2022/2023 (CBT)

UTME Economics 2022/2023. The Economics section of the Joint Admission and Matriculation Board (JAMB) exam will be held in 2022. The School isle team will be providing you with free examples of previous JAMB Economics repeated questions. You will also gain an understanding of how JAMB Economics questions are constructed, as well as numerous other examination topics.

The format of today’s JAMB Economics questions and answers is the same as that of previous JAMB questions, and the format of tomorrow’s JAMB Economics questions and answers will be the same as well.
Knowing what to do would give you a higher chance of scoring highly in the JAMB examination in 2022 if you follow the appropriate procedures.

To ensure that JAMB candidates perform well in their JAMB Economics examination in order to gain admission with ease, the School isle team has dedicated a significant amount of work to developing JAMB Economics questions and answers for 2022.

JAMB Past Questions And Answers For All Subjects

JAMB Economics Questions and Answers 2022/2023

1. Developments outside a given firm that reduce the firm’s costs are called
A. internal economics
B. external economics
C. external diseconomies
D. optimum effects

ANSWER: B (external economics)

2. If at 10K per kg, 1000kg of yam were purchased, the resultant point elasticity of demand is
A. 0.33
B. 0.0001
C. 1
D.10000

ANSWER: C (1)

3. A situation in which all inputs are doubled and output also doubles is known as UTME Registration
A. constant proportions
B. increasing returns to scale
C. constant returns
D. constant returns to scale.

ANSWER: D (constant returns to scale)

4. Economic goods are termed scarce when they are
A. not available in sufficient quantities to satisfy all wants for them
B. not produced in sufficient quantities to satisfy the effective demand for them
C. of high quality
D. of primary importance in satisfying the needs of society.

ANSWER: A (not available in sufficient quantities to satisfy all wants for them)

5. Which of the following situations can give rise to economic problems
A. unlimited human wants
B. wants of varying importance
C. limited means available for satisfying wants
D. means used in different ways

ANSWER: C (limited means available for satisfying wants)

6. In the long run, all production factors are
A. fixed
B. semi-fixed
C. variable
D. semi-variable

ANSWER: C (variable)

7. The advantage which firms obtain directly from expanding their operations are referred to as

A. internal economies of scale

B. external economies of scale

C. economics of localization

D. economies of resource allocation

ANSWER: A ( internal economies of scale)

8. The effect of changes in the condition of demand on a demand schedule with the price constant is a
A. movement along the demand curve
B. deflation of the demand curve
C. hyperbola formation by the demand curve
D. shift of the demand curve

ANSWER: D (shift of the demand curve)

9. If a demand curve that intersects a perfectly inelastic supply shifts rightward, then
A. the equilibrium price and quantity will increase
B. only the price will increase
C. only quantity will increase
D. the price will remain constant Login to JAMB CAPS

ANSWER: B (only the price will increase)

10. If the cost of production for a firm continues to increase as its output rises, the firm is said to be experiencing
A. a large scale of production
B. profit maximization
C. economies of scale
D. diseconomies of scale

ANSWER: D ( diseconomies of scale)

11. Economic goods are termed scarce goods when they are
A. not available in sufficient quantity to satisfy all wants for them
B. not produced in sufficient quantities to satisfy the effective demand of them
C. of high quality
D. of primary importance in satisfying the needs of a society

ANSWER: A (not available in sufficient quantity to satisfy all wants for them)

12. If units of a variable factor are increasingly added to a fixed factor and the marginal physical product keeps increasing, production is said to be taking place under condition of
A. increasing returns to the variable factor
B. increasing returns to scale
C. constant return to the variable factor
D. external economies of scale

ANSWER: B (increasing returns to scale)

13. The ordinary partner in a partnership
A. takes no active part in the management of the business
B. has limited liability in case of business
C. has unlimited liability in case of business failure
D. cannot be sued personally on matters relating to the business

ANSWER: C (has unlimited liability in case of business failure)

14. A possible factor which limits the extent of growth of a firm is the
A. existence of a monopoly
B. bureaucratic delays in decision making
C. use of by-products
D. unwillingness to share ownership and control

ANSWER: D ( unwillingness to share ownership and control)

15. A disadvantage of a joint-stock company is
A. unlimited liability
B. limited liability
C. continuity
D. loss of controlling interest

ANSWER: D (loss of controlling interest)

16. An effect of inflation is that it
A. discourages trade by barter
B. favours debtors at the expense of creditors
C. increases the real income of salary earners
D. increases the value of a country’s export

ANSWER: B ( favours debtors at the expense of creditors)

17. Budget deficit is the amount by which
A. total expenditure exceeds revenue

B. recurrent expenditure exceeds revenue

C. capital expenditure exceeds revenue

D. recurrent expenditure exceeds capital expenditure

ANSWER: B (recurrent expenditure exceeds revenue)

18. Under flexible exchange rates, a deficit could be corrected by
A. freezing the gold point
B. appreciation of other currencies
C. removing export subsidies
D. removing tariffs

ANSWER: B (appreciation of other currencies)

19. If W stands for wages/salaries, P for profits, R for interest and Z for rent on land and real estate, then national income is
A. WPRZ
B. W+P+Z-R
C. PRZ+W
D. W+P+R+Z

ANSWER: D (W+P+R+Z)

20. A made obstacle to economic development is
A. a rise in industrial output
B. low farm productivity
C. free trade
D. ineffective trade union

ANSWER: B (low farm productivity)

21. IBRD as an international monetary institution is concerned with the
A. balance of payments problems of member nations
B. financing of private business in member nations
C. development of infrastucture in member nations
D. improvement of trade among member nation

22. An advantage of the sole proprietorship over the partnership form of business organization is that
A. it enjoys limited liability for debt in the event of failure
B. Its existence is limited by an individual’s life span
C. It relies on the decision of friends to succeed
D. The possibility of conflict is management in virtually non-existent

23. The distinction between capital and recurrent expenditure lies in the
A. amount of expenditure involved
B. source of the revenue generated
C. nature of the goods and services to be provided
D. time frame of the expenditure

24. Under a floating exchange rate regime, the determinant of the exchange rate is
A. the system of government
B. demand for and supply of foreign goods
C. the highest denomination of the currency an act of the national assembly

25. To compare the standard of living among nations, the most widely used economic indicator is the
A. per capital nominal income
B. real domestic output
C. real gross national income
D. real per capital income

26. Statutory organisations usually established by Acts of parliament are called
A. public enterprises
B. public corporations
C. cooperative societies
D. joint-stock companies

27. A greater burden of the taxes on essential goods is borne by the
A. higher income group
B. newly recruitment workers
C. lower income group
D. contract workers

28. Privatization and commercialization of public enterprises in Nigeria is necessitated by
A. the IMF conditions
B. the IBRD conditions
C. the government’s loss of interest in them
D. their operational inefficiency

29. The theory of comparative advantage states that a commodity should be produced in that nation where the
A. absolute cost is least
B. absolute money cost is least
C. opportunity cost is least
D. production possibility curve increases

30. The effect of an increase in the personal income tax is to
A. raises the absolute price level
B. distort the economy
C. reduce unemployment
D. reduce the disposable income

31. An important factor hindering the rapid development of the industrial sector in Nigeria.
A. excessive demand for finished products
B. the dominance of the oil sector
C. rural-urban migration
D. inadequate infrastructure facilities

32. The demand for labour is an example of
A. competitive demand
B. derived demand
C. composite demand
D. joint demand

33. The major role of multi-national companies in the petroleum industry in Nigeria is
A. oil prospecting only
B. oil marketing only
C. the establishment of refineries
D. oil marketing prospecting

34. An important factor hindering the rapid development of the industrial sector in Nigeria.

A. excessive demand for finished products

B. the dominance of the oil sector

C. rural-urban migration

D. inadequate infrastructure facilities

35. The demand for labour is an example of

A. competitive demand

B. derived demand

C. composite demand

D. joint demand

36. The major role of multi-national companies in the petroleum industry in Nigeria is

A. oil prospecting only

B. oil marketing only

C. the establishment of refineries

D. oil marketing prospecting

37. Fixing the prices of agricultural products can be a problem because of the

A. unpredictable output of farmers

B. instability of government policies

C. activities of marketing boards

D. size of agricultural exports

38. Occupational mobility as applied to factors of production means the case by which

A. factors can be transferred from one place to another

B. factors can be transferred from one form move users to another

C. resources can be transferred from one place to another

D. resources can be transformed from one form to another

NOTE: The questions and answers are not the real questions for this year’s UTME Economics. They are past and repeated questions which is meant to help you practice and see JAMB economics sample questions and answers.

SEE ALSO:

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JAMB Biology Questions and Answers (CBT)

2022 JAMB Economics Possible Questions and Answers

The questions and answers below are what you may expect during your Economics UTME. Go through it and see how it looks like.

1. A demand which gives rise to the reverse of the law of demand is__________

A) Derived demand

B) Joint demand

C) Abnormal demand

D) Composite demand

2. If two commodities are unrelated, a change in the price of one will____________

A) have effect on the quantity demanded of the other

B) have no effect on the quantity demanded of the other

C) increase the quantity demanded on the other

D) decrease the quantity demanded on the other

Price(₦) Quantity Demanded
8 10
6 12

3. If we move from 8 to 6, the elasticity of demand is_______

A) -1.25

B) 0.62

C) 1.25

D) 1

4. In a perfect competition, the market price is determined by_______

A) the government

B) the producer

C) the consumer

D) the market supply and demand junctions

5. In the short-run, the monopoly makes_______

A) Normal profit

B) Abnormal Profit

C) Loss

D) Sales

6. The demand curve facing the monopolist in the foreign market is__________

A) Elastic

B) Inelastic

C) Perfectly elastic

D) Unitary

7. Supply is________

A) A stock

B) A Flow

C) Constant

D) A table

8. A rise in the supply of a commodity cause__________

A) an increase in the equilibrium price and decrease in the equilibrium quantity bought and sold

B) an increase in both equilibrium

C) a decrease in the equilibrium price and an increase in the equilibrium quantity bought and sold

D) a decrease in both equilibrium

9. The method obtained by adding all the reward of factors of production in national income is________

A) income approach

B) expenditure approach

C) value added method

D) output approach

10. An economy in which the whole income is not consumed is referred to as______

A) Frugal economy

B) Spend thrift economy

C) Capitalist economy

D) Mixed economy

11. The arithmetic mean of 5, 8, 10, 15, 24 and 28 is_______

A) 145

B) 15

C) 90

D) 6

12. A method of analysis that draws conclusions from data rather than general Principles already known is________

A) Deductive reasoning

B) Inductive reasoning

C) Normative reasoning

D) Positive reasoning

13. The money market equilibrium is defined as_________

A) when the demand and supply of money are equal

B) when demand is greater than supply of money

C) when demand is less than supply of money

D) when supply is greater than demand for money

14. An economic condition in which much reduced economic activity co-exists with inflation is referred to as__________

A) stagflation

B) inflationary spiral

C) slump inflation

D) inflationary gap

15. An Instrument used by the central bank to fix commercial and merchant banks total credit to domestic economy is________

A) monetary policy

B) fiscal policy

C) credit ceiling

D) open market operation

How to go pass JAMB Economics Questions and Answers 2022

Be Dedicated to your Studies

To pass any examination, one must put in the necessary effort, and one of the methods to pass the JAMB Economics examination is to study hard. Make sure you study the JAMB Economics syllabus to the fullest extent possible.

Examine the previous JAMB Economics questions and their answers. Allow me to state unequivocally that about half of the JAMB questions are repeats of previous questions. What does this teach you about yourself? Examining previous JAMB questions on Economics will help you achieve a high score.

Pray your God and Trust the Process

You must always seek your God in everything you do. Put Him first and trust what he can do. You will definitely see some good results.

If you have any queries about the JAMB Economics questions and answers, please leave your questions in the comment box below and we will get back to you as soon as possible.

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