The Theory of Production - Jamb Economics Past Questions and Answers

Question 51:

• JAMB 1984

The advantages that accrue to a firm as the size of the firm increases are known as

A. External diseconomies
B. Internal returns to scale
C. Internal economies
D. Internal diseconomies
E. Constant returns to scale

Question 52:

• JAMB 1984

One of the advantages of large - scale production is that

A. There is a rise in the cost of administration
B. Consumers sacrifice their individual tastes
C. The firm can use labour - saving machinery
D. The demand for a firm's products become localized
E. Decision making takes a long time because different levels of management are involved

Question 53:

• JAMB 1984

A rightward shift in the production possibility frontier may be due to

A. Use of inferior inputs
B. Inefficiency
C. Improvement in production techniques and practices
D. Changes in the product mix
E. Changes in consumer's tastes and preferences

Question 54:

• JAMB 1985

One main quality of a good is that it

A. Is sold in the market
B. Satisfies wants
C. Is made in the factory
D. Is always tangible
E. Is non-perishable

Question 55:

• JAMB 1985

One main quality of a good is that it

A. Is sold in the market
B. Satisfies wants
C. Is made in the factory
D. Is always tangible
E. Is non-perishable