The Theory of Demand - Jamb Economics Past Questions and Answers

Question 111:

• JAMB 2004

In order to increase revenue, the seller of a commodity whose demand is fairly elastic is advised to

A. Increase price
B. Reduce output
C. Reduce price
D. Retain price

Question 112:

• JAMB 2005

If elasticity of demand is greater than I and less than infinity, demand is said to be

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

Question 113:

• JAMB 2006

An important determinant of price elasticity of demand is

A. The state of technology
B. The prices of other commodities
C. The ease of substitution
D. Government policy

Question 114:

• JAMB 2006

Derived demand is normally used with reference to

A. Superior goods
B. Inferior goods
C. The cost of production
D. The factors of production

Question 115:

• JAMB 2006

A distribution is said to be positively skewed if it

A. Has a long tail to the left
B. Has a long tail to the right
C. Is bimodal
D. Is bell-shaped