Waec Economics Past Questions and Answers

Question 1616:

• WAEC 2018

if the marginal utility of a commodity is equal to its price then

A. The consumer is in equilibrium
B. More of the commodity can be consumed
C. Total utility is also equal to its price
D. The market is not in equilibrium

Question 1617:

• WAEC 2018

A price floor is usually fixed

A. At the equilibrium and causes shortage
B. Above the equilibrium and causes shortage
C. Below the equilibrium and causes shortage
D. Above the equilibrium and causes surplus

Question 1618:

• WAEC 2018

A market is in equilibrium when?

A. There is no government intervention
B. The demand is the same as the supply
C. Buyers and sellers are free to sell more goods
D. There is no free entry and exit

Question 1619:

• WAEC 2018

a firm average cost decreases in the longrun because?

A. Increasing returns to scale
B. Diminishing average returns
C. Decreasing marginal returns
D. Decreasing average fixed cost

Question 1620:

• WAEC 2018

the larger a firm, the lower its cost of production

this statement explains the?

A. Law of diminishing marginal returns
B. Concept of economies of scale
C. Law of comparative cost advantage
D. Theory of division of labour