UI Post-UTME Economics 2023 (Model questions) past questions and answers

Goods A and B are close substitutes when ________

1. A.a decrease in demand for good A increases price of good B
2. B.an increase in price for good A decreases demand for good B
3. C.an increase in price of good A decreases demand for good B
4. D.a change in the price of good A does not affect demand for good B

Which of the following is not a characteristics of perfectly competitive market?

1. A.forms are price takers
2. B.firms have difficulty entering the market
3. C.there are many sellers in the market
4. D.goods offered for sale are largely the same

An increase in the demand curve for orange juice would be illustrated as a ________

1. A.leftward shift of the demand curve
2. B.rightward shift of the demand curve
3. C.movement up along the demand curve
4. D.movement down along the demand curve

"Scientists ought not to break up atoms" is a ________ statement that involves ethical judgement and cannot be proved right or wrong.

1. A.Normative
2. B.factual
3. C.negative
4. D.positive

Which of the following changes would not shift the demand curve for a good or service?

1. A.a change in income
2. B.a change in the price of the good or service
3. C.a change in expectations about the future price of goods or service
4. D.a change in the price of a related good

Which of the following is not example of stock variable?

1. A.quantity of shoes for sale in a shop
2. B.number of buildings in OAU
3. C.cars at the car park
4. D.number of time shola eats in one day

Customers who purchase a book from Dave's Bookstore are charged 20% more than customers who purchase the same book from Dave's Bookstore website. This is an example of ________

1. A.perfect Price discriminants
2. B.price discrimination
3. C.deadweight loss
4. D.socially inefficient output

In the theory of cost, ________ is a straight line parallel to the output axis

1. A.TC
2. B.TFC
3. C.TVC
4. D.MC

During inflation, tax rates should ________

1. A.increase
2. B.decrease
3. C.remain constant
4. D.fluctuate

Fiscal policy refers to the policy relating to ________

1. A.public revenue
2. B.public expenditure
3. C.public debt
4. D.all of the above

The amount by which the equilibrium level of real GDP exceeds the full employment level of GDP is called ________

1. A.recessionary gap
2. B.inflationary gap
3. C.income multiplier
4. D.automatic stabilizer

Supply of money remaining the same when there is an increase in demand for money, there will be ________

1. A.a fall in the level of prices
2. B.an increase in the rate of interest
3. C.a decrease in the rate of interest
4. D.an increase in the level of income and employment

If people are made unemployed because of a fall in aggregate demand, this is known as ________

1. A.frictional unemployment
2. B.seasonal unemployment
3. C.cyclical unemployment
4. D.structural unemployment

If the real wage is above, the equilibrium level is the labour market then, the ________

1. A.the quantity demanded of labour is higher than the quantity supplied
2. B.the quantity demanded of labour equals the quantity supplied
3. C.the quantity demanded of labour is lower than the quantity supplied
4. D.the real image will automatically rise in the short run to bring about equilibrium

Which of the following can not be regarded as tertiary production?

1. A.teaching
2. B.panting
3. C.manufacturing
4. D.singing

When the price paid by a consumer is below what he expected to pay, ________ occurs

1. A.consumer sovereignty
2. B.consumer surplus
3. C.producer surplus
4. D.producer sovereignty

Which of the following correctly measures Net Domestic Product?

1. A.GDP less Depreciation
2. B.GDP plus depreciation
3. C.GDP less personal income
4. D.GNP less capital consumption

An example of a transfer payment is ________

1. A.profit
2. B.Rent
3. C.students bursary
4. D.government purchases

The value of what is produced within a country by the citizens and the foreigners is called ________

1. A.Gross national income
2. B.Gross domestic income
3. C.gross output
4. D.Net national income

Which ONE of the following people is likely to gain from inflation?

1. A.someone who is saving money by holding it in a cash box at home
2. B.someone who has borrowed money at a fixed rate of home
3. C.someone living on a pension which remains unchanged
4. D.Monetarists who argue that an increase in money supply causes total spending to increase

The shape of MU curve conforms to which of the following

1. A.positive slope
2. B.negative slope
3. C.parallel to x-axis
4. D.parallel to y-axis

For an individual to settle his payment at a later date implies that ________

1. A.money has performed its function of medium of exchange
2. B.money has performed its function of store of value
3. C.money has performed its function of unit of account
4. D.money has performed its function of standard by deferred payment

Which of the following is NOT a measure of national income?

1. A.income approach
2. B.expenditure approach
3. C.output approach
4. D.index approach

Absolute advantage theory of international trade is associated with ________

1. A.John Keynes
2. B.Adam Smith
3. C.David Ricardo
4. D.Milton Friedman