Waec Economics 2002 Past Questions and Answers

Question 41:

• WAEC 2002

International trade is based on the law of

A. Absolute cost advantage
B. Variable proportion
C. Comparative cost advantage
D. Mutual co-operation

Question 42:

• WAEC 2002

Terms of trade is used to describe

A. The quality of exports
B. The direction of foreign trades
C. Purchases on deferred payment basis
D. The rate at which exports exchange for imports

Question 43:

• WAEC 2002

A nation's net export is negative when her

A. Stock of goods is declining
B. Depreciation exceeds investment
C. Exports is adjusted upwards
D. Imports exceeds exports

Question 44:

• WAEC 2002

Deficit in the balance of payment is financed through

A. Capital account
B. Current account
C. Invisible trade
D. Visible trade

Question 45:

• WAEC 2002

Devaluation of a currency in a country is likely to lead to

A. Increasing population
B. Increasing imports
C. Exports becoming cheaper
D. Reduced exports