Budget line - Jamb Economics Past Questions and Answers

Question 1:

• JAMB 2019

A demand which gives rise to the reverse of the law of demand is__________

A. Derived demand
B. Joint demand
C. Abnormal demand
D. Composite demand

Question 2:

• JAMB 2015

In the diagram, the consumer budget line shift from JK to GH. What can definitely be deduced from the diagram?

A. There has been an increase in the consumer’s money income
B. There has been a reduction in the price of both A and B
C. There has been no change in the price of A or B
D. There has been no change in the price of A relative to the price of B

Question 3:

• JAMB 2015

A line in commodity space which shows the constraints imposed by his budget, his money income and the price of goods purchased is

A. Supply curve
B. Liquidity preference
C. Budget line
D. Demand curve

Question 4:

• JAMB 2014

A rightward shift of the budget line is caused by a

A. Fall in consumer income
B. Change in consumer taste
C. Fall in the commodity relative price
D. Rise in the consumer income