Economics Post Utme questions

||1. Basic extractive activities are classified as:
(A) primary production
(B) manufacturing production
(C) technical production
(D) secondary production
2. Which of the following is not strictly included in the study of economics?
(A) production
(B) consumption
(C) whether a product is harmful
(D) distribution
3. It is impossible to satisfy all human wants because:
(A) of income inequality
(B) available resources are limited
(C) human wants are unlimited
(D) money income is limited
4. Mr. Tola needs a book and a calculator that cost N70 each. If he buys the book instead of the
calculator, the opportunity cost of his choice is:
(A) N70
(B) N140
(C) calculator
(D) Book
5. The meaning of scale of preference is:
(A) a list of consumers wants, arranged in order of importance
(B) the preparation of a list of goods and services that satisfy wants
(C) the consumer budget
(D) the consumer preference for cheap goods
6. The knowledge of Economics enables an individual to:
(A) be careful in the spending of his income
(B) derive maximum satisfaction from the use of his resources
(C) be investment conscious
(D) avoid the purchase of harmful goods
7. If you do not have to make any sacrifice in order to get a particular thing then its real cost is:
(A) its price
(B) zero
(C) infinite
(D) one
8 Which of the following defines Economics most comprehensively?
(A) Organization of industries and services to produce utility
(B) Study of human behaviour in the allocation of scarce resources
(C) Buying and selling of goods and services
(D) Study of economic agents in allocation of goods and services
9. Which of the following is not a classification of economic activities?
(A) Tertiary
(B) Construction
(C) Primary
(D) Secondary
10 In economic analysis, a statement is said to be normative when it:
(A) relates to value judgment
(B) is concerned with what is
(C) observes economics variables
(D) combines A to C
11. Which of the following statements is not correct about choice?
(A) the process of making a choice involves opportunity cost  
(B) only individuals and firms make choice
(C) an economist is not interested in the moral judgment of any choice so made
(D) usually choice is made from a consumer scale preference


12. ͞EĐoŶoŵiĐs is a sĐieŶĐe ǁhiĐh studies huŵaŶ ďehaǀiouƌ as ƌelatioŶship ďetǁeeŶ eŶds aŶd sĐaƌĐe
ŵeaŶs, ǁhiĐh haǀe alteƌŶatiǀe uses͟. ͚EŶds͛ heƌe refers to:
(A) output
(B) wants
(C) resources
(D) demand
13. The study of the economic behaviour of individual decision making unit in a free enterprise
economy is called:
(A) microeconomics
(B) market system
(C) macroeconomics  
(D) economic system
14.  What is the first thing to do if Biola simultaneously needs computer, a laser printer and a scanner
and he has money to buy only one of these items?
(A) check how much money he has
(B) prepare a scale of preference
(C) seek advice from economic experts
(D) determine the opportunity cost
15. Another term for opportunity cost is:
(A) implicit cost
(B) money cost
(C) real cost
(D) alternative cost
16 A ĐoŶsuŵeƌ͛s deĐisioŶ to puƌĐhase ŵoƌe of a pƌoduĐt, ǁith ĐoŶstaŶt iŶĐoŵe ǁill iŵplLJ that:
(A) more of another product will be bought
(B) the consumer is rational
(C) less of other product(s) will be bought
(D) no product will be bought subsequently
17. The concept of economic efficiency basically implies:
(A) equity in the distribution of the nation͛s ǁealth
(B) conservation of economic resources
(C) obtaining the maximum output from available resources at the lowest cost
(D) a wasteless economy
18. A good example of a free good is:
(A) education
(B) security
(C) air
(D) mineral resources
19. The decision on what to produce is a problem in:
(A) developing economic systems
(B) all economic system
(C) a centrally planned economic system only
(D) a free-enterprise economic system only
20. Which of the following would not be included in the fundamental principle of a free enterprise
economy?
(A) the right to make private profit
(B) government control factor of production
(C) private ownership of factors of production
(D) government encourages competitive capitalism within the legal framework of the country
21. Advance stage of socialism is referred to as:
(A) quasi-socialism
(B) capitalism
(C) communism
(D) feudalism
22. What determines how the factors of production are to be allocated among different production
activities in a planned economy?
(A) equity principle
(B) individual ability to pay
(C) private needs
(D) public needs determined by the government
23. One of the fundamental differences between capitalist and a socialist state is that while:
(A) there is equality in distribution of wealth in the socialist state, it is not so in a capitalist economy
(B) in the former, price mechanism guides the allocation of resources, it is the government agency
that performs this function in the latter
(C) the former is governed by the principle of the survival of the fittest, the latter is concerned with the
welfare of all
(D) taxes are levied in a socialist economy; there is no taxation in capitalist economy
24. The Nigerian economy can best be described as a:
(A) mixed economy
(B) socialist economy
(C) mono-product economy
(D) capitalist economy
25. In market economy, the economy questions of what, how and for whom to produce are solved by:
(A) government agencies
(B) price mechanism
(C) chief economic advisers
(D) planning committee
26. A socialist economy is characterized by the:
(A) public ownership and control of factor of production
(B) use of capital-intensive method of production
(C) government ownership and private control of means of production
(D) equal access to public utilities
27. Irrespective of economic system adopted, which of the following is not an economic problem?
(A) techniques of production to be adopted
(B) equal distribution of economi
(C) for whom to produce goods and services
(D) how to ensure economic efficiency
28. The following are the arguments for capitalism EXCEPT:
(A) there is freedom of consumption and production
(B) it disallows monopoly of economic power
(C) there is exploitation of consumers since the producers are out to maximize profit
(D) its profit motive leads to increased efficiency in production
29. In event of shortage in supply of a commodity in the market under a planned economy, the
allocation of the available commodity will be carried out by:
(A) the producer
(B) the government
(C) price mechanism
(D) group of consumers


30. The economic system in which resources are privately owned is known as:
(A) communism
(B) socialism
(C) capitalism
(D) democracy
31. In a market economy, the main function of price to:
(A) allocate resources to both consumer and producers in an efficient manner
(B) ensure equitable distribution of resources
(C) ration the available goods among consumers
(D) determine the value of each assets
32. The term Laissez-faire is associated with:
(A) a welfare state
(B) a civil society
(C) a controlled economy
(D) a free enterprise
33. With regard to the benefit of socialism, which of the alternatives is not correct?
(A) consumers are charged fair prices for goods they purchase
(B) there is disincentive to hard work because private property is not allowed  
(C) it ensures production of essential goods
(D) it is more efficient since resources are not wasted on producing surplus
34. Which of the following countries does not practice capitalism?
(A) Tanzania
(B) Nigeria
(C) Britain
(D) United States of America
35. The graph of the function C = a + bY is:
(A) Exponential
(B) Quadratic
(C) Linear
(D) Simultaneous
36. If y represents tons of cocoa that a farmer produce, find the range of cocoa in tons that satisfies the
following inequality 250 < 2y – 400:  
(A) y > 75
(B) y > 150
(C) y < 75
(D) y > 325
37.  Use the information below to answer question below  
The raw data scores of 10 students of St. Okoro College who took part in Nov/Dec. 2005 G.C.E in
Economics are given below. The pass mark is 40%.  
34 45 25  49 15
59 64 34 40 71
 
ϯϴ.   What is the ŵeaŶ sĐoƌe of the studeŶts͛ ŵaƌks?
(A) 43.6
(B) 46.3
(C) 41.1
(D) 38.2
39. The quantities of apple supplied by a farmer in a week are shown below:
 9, 14, 4, 15, 18
 The mean deviation of this data is:
(A) 12
(B) 2.2
(C) 60
(D) 4.4
40. Which of the following is not a good method of data presentation and interpretation?
(A) Charts
(B) graphs
(C) maps
(D) tables


41. MUA = PA  where A = good, A:P = price of good A; MU = Marginal Utility
 The above equation represents:
(A) Total utility equation
(B) Marginal utility equation
(C) equilibrium equation
(D) Utility maximization equation
42. For a free commodity, a rational consumer will continuously increase his consumption until:
(A) his marginal utility becomes zero
(B) he attains the highest marginal utility level
(C) his marginal utility equal the price he would have paid
(D) he decides to stop
43. A rational consumer will adjust his spending pattern so that:
(A) the marginal utility he gets from the last naira spent on each item is the same
(B) the total amount of money he spends on each item is the same
(C) the total utility he gets from each item is the same
(D) the marginal utility he gets from the last unit of each item is the same
44. The sum of all the marginal utilities a consumer derives from the consumption of extra units of a
commodity is known as:
(A) average utility
(B) time utility
(C) total utility
(D) marginal utility
45. The ordinalist approach to the theory of consumer behaviour is based on the following assumption
except that:  
(A) the consumer acts rationally
(B) the ĐoŶsuŵeƌ͛s taste, haďit aŶd iŶĐoŵe aƌe ĐoŶsisteŶt
(C) utilities are measurable in monetary value
(D) there are only two commodities existing in the market and their prices are known
46. The demand for a commodity not directly for immediate consumption but for the production of
another commodity is:
(A) joint demand
(B) composite demand
(C) derived demand
(D) competitive demand
47. Demand in Economics is synonymous with:
(A) needs of a rational consumer
(B) all goods demanded  in the market at a time
(C) wants of the consumer at a time
(D) wants back with ability to pay
48. The responsiveness of demand to a change in income is termed:
(A) income elasticity of demand
(B) cross elasticity of demand
(C) price elasticity of demand
(D) money income index
49. In Ekiti State, the demand curve for rice in every household is downward sloping because:
(A) the higher the price of rice, the lower the quantity of rice to be demanded
(B) rice is produced in the state
(C) every household has access to the market
(D) there is excess supply
50. An increase in the demand for pen raises the demand for ink. This type of demand is called:
(A) competitive demand
(B) composite demand
(C) complementary demand
(D) derived demand



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