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JAMB Economics 1985 Question 19

Question 19

Distributive Trade

The inefficient distribution of scarce commodities in Nigeria is mostly due to the

  1. A.inefficiency of the middlemen
  2. B.inefficiency in the production process
  3. C.long chain of the distribution system
  4. D.sovereignty of the consumers
  5. E.ineffectiveness of retailers
Show the answer and explanation

Answer: C (long chain of the distribution system)

Explanation

Goods pass through many middlemen before reaching consumers; each adds cost and delay, and hoarding is easier.