Economics 1998 Jamb Past Questions and Answers

Question 26 :

• JAMB 1998

An issue of bank-notes not backed by gold but by government securities is known as?

A. Fiduciary isssue
B. Guaranteed money
C. Seignior age
D. Legal tender

Question 27 :

• JAMB 1998

A rise in the market price of fixed interest securities is an indication that the?

A. Supply of money has decreased
B. Liquidity preference has increased
C. Market rate of interest has risen
D. Market rate of interest has fallen

Question 28 :

• JAMB 1998

An increase in government expenditure will lead to?

A. Investment opportunities for foreign investors
B. An increase in the level of aggregate demand
C. An increase in total tax revenue
D. Reduction in total tax revenue

Question 29 :

• JAMB 1998

When an indirect tax is levied on the producer of a good, the burden on the consumer will depend largely on the?

A. Elasticity of demand for the good
B. Proportion of the consumer's income spent on the good
C. Elasticities of demand and supply of the commodity
D. Availability of substitiutes for the commodity

Question 30 :

• JAMB 1998

If a government wants to reduce the level of inflation, it will?

A. Run a budget surplus
B. Run a budget deficit
C. Run a balanced budget
D. Borrow more money