Jamb Economics 2003 Past Questions and Answers

Question 11:

• JAMB 2003

If the demand curve facing a firm is sharply downward-sloping, the firm is likely to be

A. A monopolistic competitor as it can have a limited influence on price
B. A monopolist as it can have a great influence on price
C. A perfect competitor as it cannot influence the market price
D. An oligopolist as it can collude with other firms to have some influence on price

Question 12:

• JAMB 2003

A normal supply curve is usually positively sloped because the relationship between

A. Price and supply is positive
B. Demand and price is positive
C. Supply and price is negative
D. Price and demand is negative

Question 13:

• JAMB 2003

Short-run period in production is a period too short for a firm to be able to change its

A. Scale of operation
B. Total revenue
C. Total outputs
D. Variable inputs

Question 14:

• JAMB 2003

Price elasticity of supply is a ratio of the change in

A. Original quantity to a change in new quantity
B. Quantity supplied to the change in price
C. Price to the change in quantity supplied
D. Quantity supplied to the change in demand

Question 15:

• JAMB 2003

The long-run average cost curve is called a planning curve because it shows what happens to costs when

A. A bigger size of plant is built
B. Differents sizes of plants are built
C. Variable inputs are increased
D. Fixed factors are increased