The Theory of Consumer Behaviour - Jamb Economics Past Questions and Answers

Question 66:

• JAMB 2010

Consumer surplus tends to be higher when demand is

A. Inelastic
B. Perfectly elastic
C. Elastic
D. Unitarily elastic

Question 67:

• JAMB 2010

One of the assumptions of ordinal utility theory is that

A. Choice is not consistent
B. Utility can be ranked
C. Total utility is a function of price
D. Satisfaction is measurable

Question 68:

• JAMB 2010

The law of diminishing marginal utility explains why

A. The slope of a normal demand curve is negative
B. An abnormal demand curve slopes upwards
C. The slope of a normal demand curve is positive
D. The consumption of inferior goods increases with income

Question 69:

• JAMB 2010

If a consumer plans to spend 120k on four oranges but spent 80k, his consumer surplus is

A. N1.50
B. N0.40
C. N1.00
D. N2.00

Question 70:

• JAMB 2011

A consumer surplus measures the

A. Benefits derived from consuming a cheap commodity
B. Excess of total expenditure over total uility
C. Difference between marginal utility and marginal cost
D. Excess of marginal utility over price