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Tuesday, 28 July 2026
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Economics Past Questions and Answers

Economics Questions

Question 1876:
In the long run, one of the characteristics of monopolistic competitive firms is that they
  • A Make abnormal profits
  • B Suffer losses
  • C Make normal profits
  • D Collude with each other
View Answer & Explanation
Question 1877:
Double counting is a problem in computing national income when using the
  • A Expenditure method
  • B Income method
  • C Output method
  • D Value-added method
View Answer & Explanation
Question 1878:
In the circular flow of income, an increase in savings causes
  • A An increase in imports
  • B A decrease in the income stream
  • C An increase in household consumption
  • D A decrease in exports
View Answer & Explanation
Question 1879:
The ability of commercial banks to create money depends on the
  • A Reserve ratio
  • B Liquidity ratio
  • C Interest rate
  • D Capital base
View Answer & Explanation
Question 1880:
The reform in the banking sector in Nigeria is principally motivated by the need to
  • A Increase the capital base of banks
  • B Provide more money to run the economy
  • C Minimize the rate of bank failures
  • D Enhance efficiency in bank operations
View Answer & Explanation