Jamb Economics 1991 Past Questions and Answers

Question 46:

• JAMB 1991

A major obstacle to economic development is?

A. A rise in industrial output
B. Low farm productivity
C. Free trade
D. Ineffective trade unions

Question 47:

• JAMB 1991

Consider the following diagram where XYZ represents the average curve of a firm. XY shows that as out put increases the average declines. However, this decline cannot continue indefinitely because

A. Managerial economies
B. Indivisibilities
C. The extent of the market
D. The pooling of dissimilar risks

Question 48:

• JAMB 1991

The firm portrayed is selling in

A. A purely competitive market
B. A market in which demand elastic at all prices
C. An imperfectly competitive markket
D. A market in which companies produce homogeneous commodities

Question 49:

• JAMB 1991

Demand is relatively inelastic

A. At P₂ range
B. In the P₂ P ₄ price range
C. At P₃ only
D. At any price below P₂

Question 50:

• JAMB 1991

Consider the table which shows output (o), total cost (TC)of production and marginal cost (MC) for a firm in a competitive market. Suppose price (P) = N 12, what is the maximum profit the firm can make ?

A. N2000.00
B. 1 200.00
C. 1000.00
D. 400.00