Jamb Economics 1994 Past Questions and Answers

Question 16:

• JAMB 1994

An increase in the supply of labour in a factory while other things remain equal will lead to?

A. An increase in the wage rate and an increase in the number of people employed
B. A decreased in the wage rate and a decrease in employment
C. An increase in the wage rate and an decrease in the employment
D. A decrease in the wage rate and an increase in employment

Question 17:

• JAMB 1994

A demand which is positively related to price is true of?

A. Normal goods
B. Giffen goods
C. Ostentatious goods
D. Capital goods

Question 18:

• JAMB 1994

Elasticity demand is an effective tool in the hands of a producer in that it enables him?

A. Raise his profit and lower his costs
B. Discourage buyers from cheating
C. Determine what he will produce
D. Set his price to maximize his profit

Question 19:

• JAMB 1994

The basic idea behind brand differentiation under an imperfect market arrangement is to?

A. Stimulate demand for rival products
B. Create demand for the particular product
C. Enable the product penetrate the market
D. Enable the product to complete with others

Question 20:

• JAMB 1994

In the long run, a firm in a perfectly competitive market will make?

A. Normal profit
B. Adnormal profit
C. Marginal profit
D. No profit