Economics 2016 Waec Past Questions and Answers

Question 16 :

• WAEC 2016

A price floor results in

A. Excess demand
B. Excess supply
C. Parallel market
D. Hoarding of goods

Question 17 :

• WAEC 2016

An entrepreneur is encouraged to adopt division of labour in production because it

A. Provide more employment opportuinities
B. Leads to increased output and lower cost of production
C. Brings about equal cost and employment opportuinities
D. Leads to increased cost of production and lower output

Question 18 :

• WAEC 2016

The long run is a period when

A. Only the variable factors can be altered
B. All factors become variable
C. The firm will cease to exist
D. Only the fixed factors can be altered

Question 19 :

• WAEC 2016

The necessary condition for a firm to be in equilibrium is that marginal revenue is

A. Greater than marginal
B. Equal to marginal
C. Less than average revenue
D. Equal to average

Question 20 :

• WAEC 2016

At which stage of production should a firm shut down? when

A. AVC=ATC
B. AVC
C. AVC>price
D. AVC=MC