The Theory of Price Determination - Jamb Economics Past Questions and Answers

Question 51:

• 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

Question 52:

• JAMB 1997

From the diagram above, the quantity of output is determined by the point

A. M
B. N
C. H
D. F

Question 53:

• JAMB 1998

In the diagram above, the price P₂ in price control situation, is referred to as

A. Minimum price
B. Markup price
C. Maximum price
D. Mark-down price

Question 54:

• JAMB 1999

The main function of price in the economic system is to?

A. Allocate scarce resources among competing uses
B. Ensure equitable distribution of income and wealth
C. Determine the demand for and the supply of goods and services
D. Remove all the constraints on production of goods and services

Question 55:

• JAMB 2000

Use the information below to answer questions.
When commodity X sold for N25 per unit, 50 units of commodity Y were purchased. With an increase in the price of commodity X to N50 per unit, the demand for commodity Y fell to 20 units.
The two commodities can be classified as?

A. Substitutes
B. Durable and non-durable
C. Intermediate and final
D. Complements