The Theory of Demand - Jamb Economics Past Questions and Answers

Question 66:

• JAMB 1989

If a 10k per kg, 1000kg of yam were purchased and at 5k per kg, 1,500kg were purchased, the resultant point elasticity of demand is?

A. 0.33
B. 0.0001
C. 1
D. 10,000

Question 67:

• JAMB 1989

If, as the price of a commodity rises, the quantity demanded of the commodity remains the same, then the demand for the commodity is?

A. Static
B. Infinitely elastic
C. Externally determined
D. Perfectly inelastic

Question 68:

• JAMB 1989

Which of the following factors is an important determinant of the magnitude of price elasticity of demand?

A. The production period
B. Cost of storage
C. Durability of the product
D. Availability of factors of production

Question 69:

• JAMB 1989

If the curve above shows the relationship between the price of commodity X and the quantity demanded of commodity Y then X and Y are

A. Complementary goods
B. Substitutes
C. Inferior goods
D. Luxury goods

Question 70:

• JAMB 1990

If an increase in income induces a reduction in the demand for beans, beans can be referred to as?

A. A normal good
B. An inferior good
C. A substitute good
D. A giffen good