Q5658.When a consumer is at equilibrium, The MRS x is equal to the
Aproduct of the two prices
Bsum of the two prices
Cratio of the two prices
Ddifference of the two prices
Correct Answer: C
At equilibrium, the Marginal Rate of Substitution (MRS) equals the ratio of prices.
JAMB (UTME)
Economics
2016
Q5659.One of the major factors militating against industrialization in Nigeria is
Alow level of foreign investment
Bfrequent break-down of equipment
Cinadequacy of infrastructural facilities
Dgovernment participation
Correct Answer: C
Inadequate infrastructure (power, roads, water) is a major obstacle to industrialization in Nigeria.
JAMB (UTME)
Economics
2016
Q5660.One of the factors that is considered in the location of a cement industry is nearness to
Amarket
Braw materials
Cinfrastructural facilitates
Dskilled manpower
Correct Answer: B
Cement industry is raw-material oriented and is located near the source of limestone.
JAMB (UTME)
Economics
2016
Q5661.A problem facing the development of the Nigerian Petroleum industry in Nigeria is
Apersistent gas flaring
Binstability in demand for the products
Cdominance of multinationals
Ddeclining oil reserves
Correct Answer: A
Persistent gas flaring is a major environmental and economic problem facing the Nigerian petroleum industry.
JAMB (UTME)
Economics
2016
Q5662.At full employment level, a contractionary monetary policy will Lead to a
Arise in aggregate supply
Brise in aggregate demand
Cfall in aggregate demand
Dfall in aggregate supply
Correct Answer: C
A contractionary monetary policy reduces money supply, leading to a fall in aggregate demand.
JAMB (UTME)
Economics
2016
Q5663.A country where the available population is unable to guarantee efficient utilization of available resources is experiencing
Aunder population
Bover-population
Chigh population density
Doptimum population
Correct Answer: A
Underpopulation occurs when the available population is insufficient to fully utilize available resources.
JAMB (UTME)
Economics
2016
Q5664.One of the causes of instability in farmers' income is
Ahigh level of illiteracy
Bunfriendly land tenure
Cunfavourable weather condition
Dpoor management of extension services
Correct Answer: C
Unfavourable weather conditions cause fluctuations in agricultural output and farmers' income.
Instruction
JAMB Economics 2018
JAMB (UTME)
Economics
2017
Q5665.Occupational distribution of population is mainly influenced by
Aeconomic factors
Breligious factors
Cgeographical factors
Dsocial factors
Correct Answer: A
Occupational distribution refers to how the working population is spread across different sectors (agriculture, industry, services). Economic factors such as job opportunities, wage levels, and the level of industrialization are the primary determinants. For example, in an economy with more industries, more people will be employed in the industrial sector. Religious, geographical, and social factors play secondary roles.
JAMB (UTME)
Economics
2017
Q5666.The reward for capital is
Ainterest
Brent
Crisk
Dpremium
Correct Answer: A
Capital refers to man-made resources used in production (machinery, equipment, buildings). The reward for capital is interest. Rent is the reward for land. Wages are the reward for labour. Profit is the reward for entrepreneurship.
JAMB (UTME)
Economics
2017
Q5667.The reduction in the value of a country's currency in relation to the value of the currencies of other nations is known as
Adeflation
Binflation
Cdevaluation
Drevaluation
Correct Answer: C
Devaluation is a deliberate reduction in the value of a country's currency relative to other currencies, usually by the government or central bank. It makes exports cheaper and imports more expensive. Deflation is a fall in the general price level. Inflation is a rise in the general price level. Revaluation is an increase in the value of a currency.
JAMB (UTME)
Economics
2017
Q5668.Mortgage banks give loans to investors on a long-term basis to
Afinance agriculture
Bestablish banks
Cacquire machinery
Dbuild houses
Correct Answer: D
Mortgage banks are specialized financial institutions that provide long-term loans specifically for building or purchasing houses. They are not primarily involved in financing agriculture, establishing banks, or acquiring machinery.
JAMB (UTME)
Economics
2017
Q5669.In a capitalist economy, factors of production are owned and controlled by the
Acitizens
Bbusinessmen
Cgovernment
Dforeigners
Correct Answer: B
In a capitalist (free market) economy, the means of production (land, capital, etc.) are owned and controlled by private individuals and businesses (businessmen), not the government. The government plays a minimal role. In a socialist economy, the government owns and controls the factors of production.
JAMB (UTME)
Economics
2017
Q5670.The establishment of industries in rural areas will help to reduce
Aurban-rural migration
Brural-urban migration
Crural-rural migration
Durban-urban migration
Correct Answer: B
Rural-urban migration is the movement of people from rural areas to urban areas in search of jobs and better amenities. Establishing industries in rural areas creates jobs locally, reducing the need for people to migrate to cities. Therefore, it reduces rural-urban migration.
JAMB (UTME)
Economics
2017
Q5671.International trade is an application of the principle of
Aindustrial production
Bmass production
Cregional production
Dcomparative advantage
Correct Answer: D
The principle of comparative advantage, developed by David Ricardo, states that countries should specialize in producing goods where they have a lower opportunity cost and then trade with other countries. This is the basis for international trade.
JAMB (UTME)
Economics
2017
Q5672.The number of people who are qualified to work and who offer themselves for employment is called
Amigrant labour
Bworking population
Clabour turnover
Dmobility of labour
Correct Answer: B
The working population (also called labour force) consists of all persons who are of working age, able, and willing to work. It excludes children, the elderly, and those not seeking employment.
JAMB (UTME)
Economics
2017
Q5673.Which of the following is an advantage of localisation of industry?
ADevelopment of subsidiary firms
Bcreation of parallel markets
CDevelopment of slums
DAttraction of foreign capital
Correct Answer: A
Localization of industry refers to the concentration of firms of the same industry in a particular area. An advantage is that it leads to the development of subsidiary (supporting) firms that provide parts, services, or raw materials to the main industry. Examples include the concentration of tech firms in Silicon Valley, which has attracted many supporting businesses.
JAMB (UTME)
Economics
2017
Q5674.The Economic Community of West African States (ECOWAS) has been slow in achieving its objectives because of
Athe activities of multinationals
Binadequate personnel at the secretariat
Cpolitical instability
Dinadequate international support
Correct Answer: C
ECOWAS was established to promote economic integration in West Africa. However, political instability in many member states (coups, civil wars, election disputes) has hindered cooperation and implementation of policies, making progress slow.
JAMB (UTME)
Economics
2017
Q5675.Joint ventures are partnerships involving
Athe poor and the rich
Bemployers and workers
Cgovernment and private investors
Dmultinationals and individuals
Correct Answer: C
A joint venture is a business arrangement where two or more parties agree to pool resources for a specific project. In the context of economic development, a common form is a partnership between the government and private investors (both domestic and foreign) to execute large projects.
JAMB (UTME)
Economics
2017
Q5676.In which of the following business units are the owners mostly the customers?
Aco-operatives
Blimited liability companies
Cpartnership
Dpublic corporations
Correct Answer: A
A consumer co-operative is a business owned by its customers. Members buy shares and receive dividends based on their purchases. The primary goal is to provide goods and services to members at fair prices, not to maximize profit for external shareholders.
JAMB (UTME)
Economics
2017
Q5677.The formula (Price index of export ÷ Price index of import) × 100, is used to measure the
Avolume of trade between countries
Bdirection of international trade
Ccommodity terms of trade
Dvolume of imports
Correct Answer: C
This formula is used to calculate the commodity terms of trade. It measures the ratio of a country's export prices to its import prices. An increase in this ratio means a country can buy more imports with a given amount of exports (improved terms of trade).
JAMB (UTME)
Economics
2017
Q5678.If specialisation should take place, then
AGhana should produce coffee and cocoa
BGhana would benefit by producing cocoa only
CSierra Leone should not produce any of the products
DSierra Leone should produce cocoa and Ghana coffee
Correct Answer: D
From the table, Ghana can produce 8 tonnes of coffee or 7 tonnes of cocoa. Sierra Leone can produce 2 tonnes of coffee or 9 tonnes of cocoa. Ghana has a comparative advantage in coffee (8 vs 2), while Sierra Leone has a comparative advantage in cocoa (9 vs 7). Therefore, specialization means Sierra Leone should produce cocoa and Ghana should produce coffee.
JAMB (UTME)
Economics
2017
Q5679.Which of the following is an invisible item?
APetroleum services
BProcessed rice
CProcessed milk
DBanking services
Correct Answer: D
Invisible items in international trade refer to services, not physical goods. Banking services, insurance, tourism, and shipping are examples of invisible items. Petroleum, rice, and milk are physical goods (visible items).
JAMB (UTME)
Economics
2017
Q5680.The full meaning of OPEC is
AOil and Petroleum Exporting Countries
BOriginal Petroleum Exporting Countries
COrganisation of Petrol Exporting Countries
DOrganisation of Petroleum Exporting Countries
Correct Answer: D
OPEC stands for the Organisation of Petroleum Exporting Countries. It was founded in 1960 to coordinate the petroleum policies of its member countries.
JAMB (UTME)
Economics
2017
Q5681.The main concern of economists is to
Acontrol the growth of population
Bredistribute income between the rich and the poor
Csatisfy all human wants
Dallocate scarce resources to satisfy human wants
Correct Answer: D
The fundamental problem in economics is scarcity — unlimited human wants with limited resources. Therefore, economists are primarily concerned with how to allocate these scarce resources efficiently to satisfy as many human wants as possible. Other options are secondary.
JAMB (UTME)
Economics
2017
Q5682.Productive resources can also be called
Aprinciples of production
Bfactors of production
Citems of production
Dlabour and capital
Correct Answer: B
Productive resources are the inputs used in the production of goods and services. They are also called factors of production. The four main factors are land, labour, capital, and entrepreneur.
JAMB (UTME)
Economics
2017
Q5683.The study of Economics becomes necessary because of the
Alarge population size of the world
Bscarcity of resources
Copportunity cost of goods and services
Dneed to satisfy every desire of man
Correct Answer: B
Economics exists because resources are scarce relative to unlimited human wants. This scarcity forces individuals and societies to make choices about how to allocate resources. Without scarcity, there would be no economic problem.
JAMB (UTME)
Economics
2017
Q5684.The type of demand that exists between torchlight and battery is
Acompetitive demand
Bcomplementary demand
Ccomposite demand
Dindependent demand
Correct Answer: B
Complementary demand (joint demand) occurs when two or more goods are demanded together because they are used together. Torchlight and battery are perfect examples — you need both to use a torch. An increase in the demand for torchlight will increase the demand for batteries.
JAMB (UTME)
Economics
2017
Q5685.The population density of a town made up of 50 square kilometre land area and 100 million people is
A50,000 people per square kilometre
B0.2 million people per square kilometre
C0.5 million people per square kilometre
D20 million people per square kilometre
Correct Answer: A
Population density = Total Population ÷ Land Area. = 100,000,000 people ÷ 50 km² = 2,000,000 people per km². (The provided options have errors).
JAMB (UTME)
Economics
2017
Q5686.From the table, the mean of the distribution is
A2.2
B2.5
C3.2
D4.5
Correct Answer: B
From the table, we have X values (2, 3, 4, 5) and Frequencies (2, 5, 2, 1). Total frequency (ΣF) = 2 + 5 + 2 + 1 = 10. Mean = (ΣFX) ÷ ΣF = (2×2 + 3×5 + 4×2 + 5×1) ÷ 10 = (4 + 15 + 8 + 5) ÷ 10 = 32 ÷ 10 = 3.2. (The provided answer B is a typo).
JAMB (UTME)
Economics
2017
Q5687.What is the median of the distribution?
A5
B4
C3
D2
Correct Answer: C
From the table, total frequency = 10. The median is the average of the 5th and 6th values. Cumulative frequencies: after X=2, CF=2; after X=3, CF=7. The 5th and 6th values both fall in the X=3 group. Therefore, median = 3.
JAMB (UTME)
Economics
2017
Q5688.Human wants are insatiable because wants are
Alimited while means are scarce
Bunlimited and means are also unlimited
Climited and means are also limited
Dunlimited while means are scarce
Correct Answer: D
Human wants are unlimited (insatiable), but the resources (means) to satisfy them are limited (scarce). This is the fundamental economic problem. For example, you may want a car, a house, and a vacation, but your income is limited, so you must choose.
JAMB (UTME)
Economics
2017
Q5689.If the budget of the country was $7,200.00, how much is allocated to education
A$2,400.00
B$2,000.00
C$200.00
D$1,000.00
Correct Answer: A
From the pie chart, the angle for Education = 120°. Total angle = 360°. Allocation to Education = (120 ÷ 360) × $7,200 = (1/3) × $7,200 = $2,400.00.
JAMB (UTME)
Economics
2017
Q5690.What is the ratio of expenditure on health to Agriculture?
A2:3
B3:4
C4:3
D5:4
Correct Answer: B
From the pie chart, Health angle = 60°, Agriculture angle = 80°. Ratio of Health to Agriculture = 60:80 = 3:4 (dividing both by 20).
JAMB (UTME)
Economics
2017
Q5691.Which of the following items is not an example of circulating capital?
ARaw material
BMoney
CFuel
DMachinery
Correct Answer: D
Circulating capital (working capital) refers to assets that are used up in the production process within one cycle, such as raw materials, fuel, and money. Machinery is fixed capital because it is used repeatedly over many production cycles.
JAMB (UTME)
Economics
2017
Q5692.The principle of comparative cost advantage was propounded by
ADavid Ricardo
BAlfred Marshal
CJ. S. Mill
DAdam Smith
Correct Answer: A
The principle of comparative cost advantage was propounded by David Ricardo in his book "Principles of Political Economy and Taxation" (1817). Adam Smith developed the theory of absolute advantage.
JAMB (UTME)
Economics
2017
Q5693.The rate at which a country's exports is exchanged for her imports is
Atrade balance
Bbalance of payments
Cterms of trade
Dbalance of currency account
Correct Answer: C
Terms of trade is the rate at which a country's exports are exchanged for its imports. It is calculated as: (Price index of exports ÷ Price index of imports) × 100. An improvement in terms of trade means a country can buy more imports for a given level of exports.
JAMB (UTME)
Economics
2017
Q5694.Efficiency of labour in a country is determined by the following except the
Asocial attitude to work
Beducation and training
Ctotal population
Dworking conditions of workers
Correct Answer: C
The efficiency of labour depends on factors like education and training, social attitude to work, working conditions, health, and motivation. The total population of a country does not necessarily determine labour efficiency — a large population can have low efficiency if other factors are poor.
JAMB (UTME)
Economics
2017
Q5695.The diagram below represents a production function. At which of the points does diminishing returns set in?
AR
BS
CT
DV
Correct Answer: C
The law of diminishing returns sets in at the point where marginal product begins to fall, which is the inflection point (point T) on the total product curve. Before point T, marginal product is increasing (increasing returns). After point T, marginal product is decreasing (diminishing returns).
JAMB (UTME)
Economics
2017
Q5696.Taxes and government expenditures are instruments of
Amonetary policy
Btax policy
Ceconomic policy
Dfiscal policy
Correct Answer: D
Fiscal policy refers to the use of government spending and taxation to influence the economy. Monetary policy involves the use of interest rates and money supply by the central bank.
JAMB (UTME)
Economics
2017
Q5697.A situation in which a commodity is sold abroad below its cost of production in the home country is known as
Adumping
Bcounter trade
Cbilateral trade
Dtrade liberalisation
Correct Answer: A
Dumping is the practice of selling goods in a foreign market at a price below the cost of production or below the price charged in the domestic market. It is considered an unfair trade practice and is often used to gain market share.
JAMB (UTME)
Economics
2017
Q5698.The Family Support Programme in Nigeria essentially focuses on
Athe generation of employment
Bthe alleviation of poverty
Cagricultural and industrial development
Deconomic emancipation of women
Correct Answer: D
The Family Support Programme (FSP) was a Nigerian government initiative focused on the economic emancipation of women and family welfare. It aimed to empower women through skills acquisition and small-scale enterprise support.
JAMB (UTME)
Economics
2017
Q5699.The Economic Commission for Africa was set up by the
AUNO
BECOWAS
COAU
DIMF
Correct Answer: A
The Economic Commission for Africa (ECA) was established by the United Nations Organization (UNO) in 1958 to promote the economic and social development of Africa.
JAMB (UTME)
Economics
2017
Q5700.If the pass mark was 40, how many students passed the examination?
A100
B120
C160
D200
Correct Answer: A
From the histogram, students who scored 40 and above: 40-59: 40 students; 60-79: 20 students; 80-100: 40 students. Total = 40 + 20 + 40 = 100 students. (The provided answer A is a typo).