Waec Economics Past Questions and Answers

Question 1306:

• WAEC 2012

One of the reasons why government may erect a trade barrier is to

A. Control foreign currencies
B. Protect infant industries
C. Promote importation
D. Diverisify the economy

Question 1307:

• WAEC 2012

Which of the following is not a function of the West African Development Bank?

A. Promotion of both private and public investments in member states
B. Financing and executing projects in member states
C. Promotion of social development of member states
D. Harmonization of oil prices to the advantage of member states

Question 1308:

• WAEC 2012

The diagram below represents the cost and revenue situation of a firm. Use the information in the diagram to
answer the questions that follow.

(a) Why would the firm not produce at (i) Q\(\_1\) (ii) Q\(\_3\) ? [6 marks]
(b) How much profit does the firm make at P\(\_1\)? [4 marks]
(c) If price falls to P\(\_1\)
(i) What quantity would the firm produce? [2 marks]
(ii) What type of profit does the firm make? [2 marks]
(iii) Explain your answer in c(ii). [4 marks]
(d) In which type of market s the firm operating?[2 marks]

Question 1309:

• WAEC 2012

The tables below show the expected revenues and projected expenditures from the budget of a hypothetical country in 1998. Use the information in the tables to answer the questions that follow. EXPECTED REVENUE

ITEM	AMOUNT ($ millions)
Rents, royalties and profits	75.00
Company income tax	150.00
Customs and excise duties	300.20
Personal income tax	80.00
Fees specific charges	60.80
Value added tax	100.00

PROJECTED EXPENDITURE

ITEM	AMOUNT ($ millions)
General administration	220.10
Maintenance of foreign missions	50.00
Transfer payments	65.00
Building of schools and hospitals	200.00
Road construction	180.90

(a) Calculate the total revenue from
(i) direct taxes [3 marks]
(ii) indirect taxes [3 marks]
(iii) non-tax sources [3 marks]
(b) Determine the total
(i) capital expenditure [3 marks]
(ii) recurrent expenditure [3 marks]
(c) Determine whether the budget is a surplus or deficit. [5 marks]

Question 1310:

• WAEC 2012

Explain how the following factors will affect the demand for a commodity X:
(a) a decrease in the price of a implement Y; [5 marks]
(b) an increase in consumers' disposable income; [5 marks]
(c) a decrease in the apply of a substitute P; [5 marks]
(d) an increase in income tax. [5 marks] )