Jamb Economics 1997 Past Questions and Answers

Question 1:

• JAMB 1997

With a given level of money income, a consumer maximizes satisfaction from the consumption of goods and services when the?

A. Total utility derived from each goods and services is increasing at an increasing rate
B. Marginal utility derived from each good or service is increasing at the same rate
C. Marginal utility derived per naira spent is the same for all the goods and services
D. Total utility derived from all the goods and services is large

Question 2:

• JAMB 1997

With a given level of money income, a consumer maximizes satisfaction from the consumption of goods and services when the?

A. Total utility derived from each goods and services is increasing at an increasing rate
B. Marginal utility derived from each good or service is increasing at the same rate
C. Marginal utility derived per naira spent is the same for all the goods and services
D. Total utility derived from all the goods and services is large

Question 3:

• JAMB 1997

Ike's scale of preference reveals that he prefers bananas to pawpaw, pawpaw to oranges and oranges to bananas. Ike's preferences are therefore?

A. Inconsistent
B. Consistent
C. Transitive
D. Rational

Question 4:

• JAMB 1997

One of the features of a free market economy is that?

A. Resources are directed by the price mechanism
B. Workers do not earn equal wages
C. The profit motive is serverly constrained
D. Descisions on the economy are taken by bureaucratic structures

Question 5:

• JAMB 1997

One of the fundamental differences between a capitalist and a socialist economy is that while?

A. The former is characterized by complete government ownership of resources, the latter characterized by complete private ownership
B. In the former, prices act as signals in the allocation of resources, it is central authority that performs this function in the letter
C. Taxes are levied in a capitalist economy, there is no taxation in a capitalist economy
D. Income and wealth are equally distributed in the socialist economy, this is not so in a capitalist economy