The Theory of Supply - Jamb Economics Past Questions and Answers

Question 31:

• JAMB 1985

Study the figure above. At paint H the price elasticity of supply is

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

Question 32:

• JAMB 1987

An increase in supply will lower price unless?

A. Supply is perfectly inelastic
B. Demand is perfectly inelastic
C. It is followed by an increase in demand
D. Demand is highly inelastic

Question 33:

• JAMB 1987

In the diagram, above Ps is the supply curve for a particular commodity, while OP is the price which of the following statements is correct?

A. The quantity supplied is infinitely elastic
B. When price is zero, the quantity supplied infinite
C. When price is infinite, the quantity supplied zero
D. The quantity supplied is definite

Question 34:

• JAMB 1988

When a variable is associated with time period, it is?

A. A flow
B. A stock
C. Circular
D. Static

Question 35:

• JAMB 1995

Which of the following statement is TRUE of the effect of changes in demand and supply on price?

A. A decrease in supply will lead to fall in price and a fall in the quantity bought and sold
B. An increase in demand will lead to a fall in price and quantity bought and sold
C. A decrease in demand will lead to a rise in price and in the quantity bought and sold
D. An increase in supply will lead to a fall price and a rise in the quantity bought and sold