International Trade - Jamb Economics Past Questions and Answers

Question 31:

• JAMB 1980

Nigeria earns the major part of her foreign exchange from the export of?

A. Manpower to another countries
B. Crude oil
C. Petroleum products
D. Groundnuts and cotton
E. Palm oil and cocoa

Question 32:

• JAMB 1980

Which of the following is NOT one of the balance of payment entries?

A. The current account
B. Foreign exchange
C. Import and Export duties
D. Short-term capital
E. Long-term capital

Question 33:

• JAMB 1980

Indicate which of the following are invisible trade items in a country’s balance of payments?

A. Oil exports and imports
B. Gold and foreign reserves
C. Foreign investment
D. Dividends and profit
E. Expenditure on the shipping and tourism

Question 34:

• JAMB 1980

The terms of trade are said to be favorable only if

A. Value of total exports equals value of total imports
B. Value of merchandise exports is greater than value of merchandise imports
C. There are no balance of payments problems
D. There is an increase in the value of a unit of export in terms of imports
E. Foreign exchange reserves do not change

Question 35:

• JAMB 1981

Summary of product condition in countries i and ii
Amount of labour days, cocoa(tons) Cloth(tons)
Country i 200 600 900
country ii 200 300 800
From the above table, we can correctly say in respect of international trade that

A. Country I has absolute disadvantage in the production of both cocoa cloth
B. Country I has absolute advantage in the production of both cocoa and cloth
C. Country II has absolute advantage in the production of both cocoa and cloth
D. Country II has comparative advantage in the production of cocoa
E. Country II should leave the production of both cocoa and cloth to country I