Jamb Economics 1989 Past Questions and Answers

Question 31:

• JAMB 1989

A tax is defined as regressive if?

A. The proportion of income paid as tax increase as the income level increases
B. All income group pay the same percentage of their income as tax
C. The proportion if income taen by the tax falls as income increases
D. The proportion of income taken by the tax is a fixed nominal amount of income for all income groups

Question 32:

• JAMB 1989

Government intervention in an economy is often justified on the group that?

A. Wants are unlimited while resources are scarce
B. Productivity is higher in the public than in the private sector
C. Free market may not work, or produce desirable results
D. Opportunity cost of government expenditure is zero

Question 33:

• JAMB 1989

The three groups of government revenue are?

A. Investment income, direct tax and indirect tax
B. Imports duties, excise tax and export duties
C. Company tax, personal income tax and import duties
D. Company tax, import duties and excise tax

Question 34:

• JAMB 1989

The main objectives of public expenditure does NOT include?

A. Stabilization of national economy
B. Achievement of a more equitable income distribution
C. Meeting the social needs of the people
D. Revenue sharing and profit maximizationn

Question 35:

• JAMB 1989

A perfect example of a public good is?

A. Air
B. Education
C. Defence
D. Transport