Jamb Economics 1997 Past Questions and Answers

Question 36:

• JAMB 1997

If the marginal propensity to consume is 0.75 and private investment increases by N10 billion while government expenditure decreases by N15 billion, GDP will decrease by?

A. N12 billion
B. N15 billion
C. N20 billion
D. N25 billion

Question 37:

• JAMB 1997

Given: Investment = N100 million
Consumption = N200 m + 0.75Y
Y = C + I
where, Y =Income, C = Consumption and where
I = Investment
What is the income level to the nearest million?

A. N100 Million
B. N300 Million
C. N1,000 Million
D. N1,200 Million

Question 38:

• JAMB 1997

The total money values of all goods and services produced in a country during a certain period is measured by using the?

A. Income method
B. Expenditure method
C. Output method
D. Factor method

Question 39:

• JAMB 1997

Privatization of government-owned companies means the?

A. Relinquishing of government equility participation to private individuals
B. Recapitalization of distressed government-owned companies
C. Joint paticipation of government and private individuals
D. Commercialization and deregulation of the economy

Question 40:

• JAMB 1997

The major determinant of the total volume of output in an economy is the?

A. Level of wholesale prices
B. Size of the labour force
C. Level of total expenditure
D. Composition of consumer spending