Economics Past Questions and Answers

The ultimate objective of Economics is to?

A Make effort to understand how the Economy works
B Make the best use of scarce resources
C Organize production at the lowest cost
D Decide under what circumstances the government should intervene inthe economy

Question 2:

The ultimate objective of Economics is to?

A Make effort to understand how the Economy works
B Make the best use of scarce resources
C Organize production at the lowest cost
D Decide under what circumstances the government should intervene inthe economy

Question 3:

A student in Obu'pu Secondary School discovers that he simultaneously needs a pen, an exercise book, an eraser and a ruler, but that he can purchase only one of these items. What is the first thing he is expected to do?

A Check how much he has
B Find out which is the cheapest of the items
C Draw up a scale of preference
D Weigh the opportunity cost of each item against the other

Question 4:

What to produce in any society is determined by the?

A Expenditure of the people on different commodities
B Competition among the different producers
C Competition among the different consumers
D Supply and demand in the factor markets

Question 5:

The active intervention of the central authorities in the management of a country's economy rest upon the?

A Failure of the market force to produce satisfactory result
B Superiority of the centrally planned economy over the private enterprise economy
C Result-oriented nature of the private enterprise economy
D Cost-minimization strategy of a mixed economy