Economics Past Questions and Answers

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

A Deflation
B Stable prices
C Recession
D Inflation
E Harvest

Question 7:

Government in West Africa countries engage in running a number of enterprises because ?

A Large amount of capital are needed and key industries should not be left in private hands
B Private capital would not established an adequate infrastructure
C It brings about a more even distribution of the countryâ€™s wealth
D The social costs of some enterprises make the government the most suitable body to set them up
E All of the above

Question 8:

The function of money as a standard of deferred payments

A Make possible for an individual to build up store of many things for future use
B Makes it possible for payment to be postponed from the present to a future date
C Facilitate the exchange of goods
D Makes easy calculations possible
E None of the above

Question 9:

Which of the following is NOT a major function of a Central Bank?

A Serving as Goverment''s bank
B Serving as bankers bank
C Acceptance of deposit from the public
D Responsibility for monetary policy
E Serving as lender of last resort

Question 10:

Summary of product condition in countries i and ii
Amount of labour days, cocoa(tons) Cloth(tons)
Country i 200 600 900
country ii 200 300 800
From the above table, we can correctly say in respect of international trade that

A Country I has absolute disadvantage in the production of both cocoa cloth
B Country I has absolute advantage in the production of both cocoa and cloth
C Country II has absolute advantage in the production of both cocoa and cloth
D Country II has comparative advantage in the production of cocoa
E Country II should leave the production of both cocoa and cloth to country I