Question 746:

• JAMB 1985

\(\begin{array}{c|c}
\text{Units of Quantity consumed} & \text{Total utility} & \text{Marginal utility} \\
0 & --- & --- \\
1 & 10 & 10 \\
2 & 15 & 5 \\
3 & 17 & 2 \\
4 & 18 & 1 \\
5 & 18 & 0 \\
\end{array}\)
The table above illustrates the law of?

A. Diminishing marginal utility
B. Diminishing marginal productivity
C. Diminishing returns
D. Increasing returns
E. Increasing total utility

Question 747:

• JAMB 1985

If in the short-run commodity X and commodity Y are supplied jointly, which of the following is correct?

A. An increase in demand for X will increase the supply of Y
B. An increase in demand for X will shift the supply of Y
C. An increase in demand for Y will raise the price of X
D. An increase in demand for X will cause less of Y to be produced
E. A probable tax on Y will cause more of X to be supplied

Question 748:

• JAMB 1985

In market economies, resources are allocated through the?

A. Government authorities
B. Price system
C. Banking system
D. Central planning bureau
E. Revenue allocation formula

Question 749:

• JAMB 1985

At every point on a indifference curve, the

A. Total utility is decreasing
B. Prices of all goods are constant
C. Consumer is satiated
D. Level of utility is constant
E. Level of utility is increasing

Question 750:

• JAMB 1985

Under perfect competition, the long-run equilibrium requires?

A. MR = MC
B. MR = AC = AR
C. MR > MC
D. MR = MC = AR = AC
E. AR = AC