International Trade - Jamb Economics Past Questions and Answers

Question 96:

• JAMB 1993

Comparative advantage implies that a country will specialize in producing the commodity?

A. With the highest opprotunity cost
B. For which output per worker is lower than in other countries
C. With the lowest opportunity cost
D. For which output per worker is the same with those of other countries

Question 97:

• JAMB 1993

Devaluation is effective when?

A. Demand for imports is price inelastic
B. Demand for imports is neutral
C. Production for export is low
D. Demand for exports is price elastic

Question 98:

• JAMB 1993

Tariff on imports are meant to?

A. Prevent a foreign goods
B. Discourage exports
C. Encourage exports
D. Increase the level of external dependency

Question 99:

• JAMB 1994

What is the term used to describe a policy aimed at promoting the local production of goods which are usually imported?

A. Deregulation
B. Import substitution
C. Tariff reduction
D. Backward integration

Question 100:

• JAMB 1994

One of the techniques for rectifying a deficit balance of payment is?

A. Import promotion
B. Devaluation
C. Physical intervention
D. Borrowing from abroad