Econs: 100 Economics JAMB CBT Questions & Answers for 2025
Note: These questions and answers belong to our past candidates and not that of this year, to get your 2025 Jamb CBT Answers, kindly contact us on Whatsapp.
Question 1: Average product is less than marginal product when.
A: there is constant returns to scale
B: there is decreasing returns to scale
C: there is increasing returns to scale

D: diminishing returns set in
E: diminishing returns set in
Solution: The correct answer to the Jamb question number 1 is 'C' which is 'there is increasing returns to scale'.
Question 2: Guided deregulation as currently practiced in Nigeria implies that.
A: market forces determine interest and exchange rates
B: government alone determines interest and exchange rates
C: market forces and government determine interest and exchange rates

D: exchange rate is regulated while interest rate is fixed
E: exchange rate is regulated while interest rate is fixed
Solution: The correct answer to the Jamb question number 2 is 'C' which is 'market forces and government determine interest and exchange rates'.
Question 3: Occupational distribution of population determines the.
A: size of a population available and willing to work

B: population density of a place
C: dependency ratio of a country
D: size and categories of the labour force
E: size and categories of the labour force
Solution: The correct answer to the Jamb question number 3 is 'A' which is 'size of a population available and willing to work'.
Question 4: The most popular sizes of dresses and shoes are determined by the.
A: Range
B: mode
C: mean
D: median

E: median
Solution: The correct answer to the Jamb question number 4 is 'D' which is 'median'.
Question 5: If government expenditure exceeds revenue, this results in.
A: balanced budget
B: national debt
C: budget deficit

D: budget surplus
E: budget surplus
Solution: The correct answer to the Jamb question number 5 is 'C' which is 'budget deficit'.
Question 6: The velocity of money is represented as.
A: money supply /real GDP

B: real GDPmoney supply
C: nominal GDP/real GDP
D: money supply/nominal GDP
E: money supply/nominal GDP
Solution: The correct answer to the Jamb question number 6 is 'A' which is 'money supply /real GDP'.
Question 7: The downturn in the prices of shares on stock markets is a highlight of.
A: efficient allocation of resources
B: the regulatory nature of the market

C: the invisible hand
D: consumer rationality
E: consumer rationality
Solution: The correct answer to the Jamb question number 7 is 'B' which is 'the regulatory nature of the market'.
Question 8: The marginal product of the 5th unit of capital is.
A: 42
B: 85
C: 114
D: 213

E: 213
Solution: The correct answer to the Jamb question number 8 is 'D' which is '213'.
Question 9: The mean is the best measure of central tendency because it.
A: is not affected by extreme values in a data
B: is a balancing point in an observation

C: is a midpoint value in an array of data
D: can be calculated from incomplete data
E: can be calculated from incomplete data
Solution: The correct answer to the Jamb question number 9 is 'B' which is 'is a balancing point in an observation'.
Question 10: A disadvantage of Nigeria’s dependence on imported petroleum products is the.
A: instability in the demand to the products
B: instability in the supply for the products

C: dominance of multinational firms
D: poor maintenance of the refineries
E: poor maintenance of the refineries
Solution: The correct answer to the Jamb question number 10 is 'B' which is 'instability in the supply for the products'.
Question 11: One of the characteristics of free trade zone is.
A: common tariff against non-member countries
B: free factor mobility within the zone

C: different trade policies of non-member countries
D: harmonized trade among member countries
E: harmonized trade among member countries
Solution: The correct answer to the Jamb question number 11 is 'B' which is 'free factor mobility within the zone'.
Question 12: A movement along the same demand curve is caused by the.
A: price of the product

B: price of other products
C: income of the consumer
D: taste of the consumer
E: taste of the consumer
Solution: The correct answer to the Jamb question number 12 is 'A' which is 'price of the product'.
Question 13: High dependency ratio is influenced by.
A: high infant mortality rate
B: the level of income
C: high birth rate

D: inadequate medical care for children
E: inadequate medical care for children
Solution: The correct answer to the Jamb question number 13 is 'C' which is 'high birth rate'.
Question 14: One of the characteristics of free trade zone is.
A: common tariff against non-member countries
B: free factor mobility within the zone

C: different trade policies of non-member countries
D: harmonized trade among member countries
E: harmonized trade among member countries
Solution: The correct answer to the Jamb question number 14 is 'B' which is 'free factor mobility within the zone'.
Question 15: If MPC is 0.7 while government expenditure increased by N= 150m, the equilibrium national income is.
A: N= 214 million
B: N= 105 million

C: N= 45 million
D: N= 500 million
E: N= 500 million
Solution: The correct answer to the Jamb question number 15 is 'B' which is 'N= 105 million'.
Question 16: The current industrial development strategy in Nigeria is aimed at encouraging.
A: small–scale industries
B: medium–scale Industries
C: small – and medium–scale Industries

D: medium–and large–scale Industries
E: medium–and large–scale Industries
Solution: The correct answer to the Jamb question number 16 is 'C' which is 'small – and medium–scale Industries'.
Question 17: One of the objectives of ADB is to.
A: provide subsidies on imported goods to members countries
B: promote economic and social development of member countries
C: mobilize short-term loans for member countries

D: provide technical assistance to only poor member countries
E: provide technical assistance to only poor member countries
Solution: The correct answer to the Jamb question number 17 is 'C' which is 'mobilize short-term loans for member countries'.
Question 18: A set of factors that can shift the supply curve are changes in.
A: weather, price and technology
B: technology, price and taste
C: technology, weather and population

D: population, price and taste
E: population, price and taste
Solution: The correct answer to the Jamb question number 18 is 'C' which is 'technology, weather and population'.
Question 19: If the price of a commodity with elastic demand increases, the revenue accruing to the producer will.
A: Double
B: be constant
C: increase
D: decrease

E: decrease
Solution: The correct answer to the Jamb question number 19 is 'D' which is 'decrease'.
Question 20: If the price of a commodity with elastic demand increases, the revenue accruing to the producer will.
A: Double
B: be constant
C: increase
D: decrease

E: decrease
Solution: The correct answer to the Jamb question number 20 is 'D' which is 'decrease'.
Question 21: Economics is the study of human behaviour as it relates to the.
A: efficient allocation of resources

B: operation of companies
C: production of goods
D: generation of income
E: generation of income
Solution: The correct answer to the Jamb question number 21 is 'A' which is 'efficient allocation of resources'.
Question 22: The supply curve of a perfectly competitive firm is identical to its.
A: total cost
B: marginal cost

C: fixed cost
D: variable cost
E: variable cost
Solution: The correct answer to the Jamb question number 22 is 'B' which is 'marginal cost'.
Question 23: Activities in the oil and gas industry are classified into.
A: oil exportation and distribution
B: refining and marketing of finished products
C: upstream and downstream

D: exploration and drilling
E: exploration and drilling
Solution: The correct answer to the Jamb question number 23 is 'C' which is 'upstream and downstream'.
Question 24: The downturn in the prices of shares on stock markets is a highlight of.
A: efficient allocation of resources
B: the regulatory nature of the market

C: the invisible hand
D: consumer rationality
E: consumer rationality
Solution: The correct answer to the Jamb question number 24 is 'B' which is 'the regulatory nature of the market'.
Question 25: The demand curve for factors of production.
A: is perfectly elastic
B: slopes downwards

C: slopes upwards
D: is perfectly inelastic
E: is perfectly inelastic
Solution: The correct answer to the Jamb question number 25 is 'B' which is 'slopes downwards'.
Question 26: The privatization exercise in Nigeria is a move towards a.
A: mixed economy
B: subsistence economy
C: market economy

D: command economy
E: command economy
Solution: The correct answer to the Jamb question number 26 is 'C' which is 'market economy'.
Question 27: If the demand for a good is more elastic than its supply, the tax burden is borne.
A: equally by consumers and producers
B: more by consumers
C: more by producers

D: more by retailers and producers
E: more by retailers and producers
Solution: The correct answer to the Jamb question number 27 is 'C' which is 'more by producers'.
Question 28: One of the characteristics of monopolistic competition is that.
A: there is mobility of factors of production

B: consumers have perfect knowledge of price
C: no single seller dominates the market
D: the firms are price – takers
E: the firms are price – takers
Solution: The correct answer to the Jamb question number 28 is 'A' which is 'there is mobility of factors of production'.
Question 29: A strategy for curbing unemployment is to.
A: implement government stabilization policy
B: increase government expenditure and decrease taxes

C: increase taxes and decrease government expenditure
D: ensure even distribution of job opportunities
E: ensure even distribution of job opportunities
Solution: The correct answer to the Jamb question number 29 is 'B' which is 'increase government expenditure and decrease taxes'.
Question 30: If commodity X is a by-product of commodity Y, this implies that both commodities are.
A: in competitive supply
B: jointly supplied
C: in composite supply

D: in excess supply
E: in excess supply
Solution: The correct answer to the Jamb question number 30 is 'C' which is 'in composite supply'.
Question 31: Economics is the study of human behaviour as it relates to the.
A: efficient allocation of resources

B: operation of companies
C: production of goods
D: generation of income
E: generation of income
Solution: The correct answer to the Jamb question number 31 is 'A' which is 'efficient allocation of resources'.
Question 32: A classroom teacher is promoted to the rank of a principal. This is an example of.
A: vertical mobility
B: lateral mobility
C: social mobility
D: horizontal mobility

E: horizontal mobility
Solution: The correct answer to the Jamb question number 32 is 'D' which is 'horizontal mobility'.
Question 33: In Nigeria, the location of a steel industry at Ajaokuta is due to.
A: the availability of transport network
B: the proximity to source of power
C: the proximity to large deposits of iron ore

D: political consideration.
E: political consideration.
Solution: The correct answer to the Jamb question number 33 is 'C' which is 'the proximity to large deposits of iron ore'.
Question 34: Double counting is a problem in computing national income when using the.
A: expenditure method
B: income method
C: output method

D: value–added method
E: value–added method
Solution: The correct answer to the Jamb question number 34 is 'C' which is 'output method'.
Question 35: One of the functions of commercial banks is.
A: maintaining stable price in the economy
B: granting loans to customers

C: regulating monetary policies
D: issuing bank notes and coins
E: issuing bank notes and coins
Solution: The correct answer to the Jamb question number 35 is 'B' which is 'granting loans to customers'.
Question 36: An excess demand for beans will result from.
A: an increase in the price of beans
B: a decrease in the price of beans

C: an increase in the supply of beans
D: a decrease in the supply of beans
E: a decrease in the supply of beans
Solution: The correct answer to the Jamb question number 36 is 'B' which is 'a decrease in the price of beans'.
Question 37: Determine the average product of the 4th unit of capital.
A: 53

B: 86
C: 212
D: 213
E: 213
Solution: The correct answer to the Jamb question number 37 is 'A' which is '53'.
Question 38: The demand curve for a luxury good is.
A: negatively sloped
B: parallel to the price axis
C: parallel to the quantity axis
D: positive sloped

E: positive sloped
Solution: The correct answer to the Jamb question number 38 is 'D' which is 'positive sloped'.
Question 39: A cumulative frequency graph is.
A: a histogram
B: an ogive

C: a bar chart
D: a pie chart
E: a pie chart
Solution: The correct answer to the Jamb question number 39 is 'B' which is 'an ogive'.
Question 40: The shape of the long-run average cost curve is best explained by the.
A: law of diminishing returns

B: law of returns to scale
C: cost of fixed inputs
D: cost of variable inputs
E: cost of variable inputs
Solution: The correct answer to the Jamb question number 40 is 'A' which is 'law of diminishing returns'.
Question 41: According to the theory of comparative advantage, specialization will result in.
A: labour–intensive method of production
B: capital–intensive method of production
C: efficient allocation of resources

D: efficient distribution of output
E: efficient distribution of output
Solution: The correct answer to the Jamb question number 41 is 'C' which is 'efficient allocation of resources'.
Question 42: A movement along the same demand curve is caused by the.
A: price of the product

B: price of other products
C: income of the consumer
D: taste of the consumer
E: taste of the consumer
Solution: The correct answer to the Jamb question number 42 is 'A' which is 'price of the product'.
Question 43: One of the functions of commercial banks is.
A: maintaining stable price in the economy
B: granting loans to customers

C: regulating monetary policies
D: issuing bank notes and coins
E: issuing bank notes and coins
Solution: The correct answer to the Jamb question number 43 is 'B' which is 'granting loans to customers'.
Question 44: The law of diminishing marginal utility explains why.
A: the slope of a normal demand curve is negative

B: the slope of a normal demand curve is positive
C: an abnormal demand curve slopes upward
D: the consumption of inferior goods increases with income
E: the consumption of inferior goods increases with income
Solution: The correct answer to the Jamb question number 44 is 'A' which is 'the slope of a normal demand curve is negative'.
Question 45: The primary motive for an individual engaging in production is to.
A: make profit

B: redistribute wealth
C: satisfy basic human wants
D: put inputs into use
E: put inputs into use
Solution: The correct answer to the Jamb question number 45 is 'A' which is 'make profit'.
Question 46: The rising portion of the long - run average cost curve of a.
A: firm is an indication that it is experiencing increasing efficiency
B: diseconomies of scale

C: economics of scale
D: increasing marginal returns
E: increasing marginal returns
Solution: The correct answer to the Jamb question number 46 is 'B' which is 'diseconomies of scale'.
Question 47: The choice of the method of production in an economy is determined by the.
A: level of income
B: rate of population growth
C: level of technical know-how

D: availability of natural resources
E: availability of natural resources
Solution: The correct answer to the Jamb question number 47 is 'C' which is 'level of technical know-how'.
Question 48: The reform in the banking sector in Nigeria is principally motivated by the need to.
A: increase the capital base of banks

B: provide more money to run the economy
C: minimize the rate of bank failures
D: enhance efficiency in bank operations
E: enhance efficiency in bank operations
Solution: The correct answer to the Jamb question number 48 is 'A' which is 'increase the capital base of banks'.
Question 49: If X = 6 and N = 6, determine the value of Efx..
A: 36

B: 12
C: 1
D: 72
E: 72
Solution: The correct answer to the Jamb question number 49 is 'A' which is '36'.
Question 50: Double counting is a problem in computing national income when using the.
A: expenditure method
B: income method
C: output method

D: value–added method
E: value–added method
Solution: The correct answer to the Jamb question number 50 is 'C' which is 'output method'.
Question 51: A firm enjoying economics of scale is said to be.
A: reducing average cost as production increases

B: maximizing profits as production increases
C: benefiting from the activities of other firms
D: having an upward - sloping average cost curve
E: having an upward - sloping average cost curve
Solution: The correct answer to the Jamb question number 51 is 'A' which is 'reducing average cost as production increases'.
Question 52: The ability of commercial banks to create money depends on the.
A: Ratio
B: liquidity ratio

C: interest rate
D: capital base
E: capital base
Solution: The correct answer to the Jamb question number 52 is 'B' which is 'liquidity ratio'.
Question 53: In national income accounting, tax is determined by the.
A: level of income

B: level of investment
C: level of consumption
D: rate of savings
E: rate of savings
Solution: The correct answer to the Jamb question number 53 is 'A' which is 'level of income'.
Question 54: One of the objectives of ADB is to.
A: provide subsidies on imported goods to members countries
B: promote economic and social development of member countries
C: mobilize short-term loans for member countries

D: provide technical assistance to only poor member countries
E: provide technical assistance to only poor member countries
Solution: The correct answer to the Jamb question number 54 is 'C' which is 'mobilize short-term loans for member countries'.
Question 55: If the price of an item changes by 8% and quantity supplied changes from 600 units to 660 units, the price elasticity of supply is.
A: 0.80
B: 1.25

C: 2.00
D: 10.00
E: 10.00
Solution: The correct answer to the Jamb question number 55 is 'B' which is '1.25'.
Question 56: The reform in the banking sector in Nigeria is principally motivated by the need to.
A: increase the capital base of banks

B: provide more money to run the economy
C: minimize the rate of bank failures
D: enhance efficiency in bank operations
E: enhance efficiency in bank operations
Solution: The correct answer to the Jamb question number 56 is 'A' which is 'increase the capital base of banks'.
Question 57: A manufacturer who wants to build a new plant will source funds from the.
A: commercial banks
B: money market
C: capital market

D: government
E: government
Solution: The correct answer to the Jamb question number 57 is 'C' which is 'capital market'.
Question 58: The major problem confronting a sole proprietor is.
A: high level of risk
B: limited expertise
C: limited source of capital

D: high taxation
E: high taxation
Solution: The correct answer to the Jamb question number 58 is 'C' which is 'limited source of capital'.
Question 59: A movement along the same demand curve is caused by the.
A: price of the product

B: price of other products
C: income of the consumer
D: taste of the consumer
E: taste of the consumer
Solution: The correct answer to the Jamb question number 59 is 'A' which is 'price of the product'.
Question 60: By buying treasury bills, the Central Bank of Nigeria intends to.
A: increase money supply in the economy
B: reduce money supply in the economy

C: reduce the cash reserve ratio for banks
D: increase the capital base of commercial banks
E: increase the capital base of commercial banks
Solution: The correct answer to the Jamb question number 60 is 'B' which is 'reduce money supply in the economy'.
Question 61: If the price of a commodity with elastic demand increases, the revenue accruing to the producer will.
A: Double
B: be constant
C: increase
D: decrease

E: decrease
Solution: The correct answer to the Jamb question number 61 is 'D' which is 'decrease'.
Question 62: When workers have a union, the supply of labour is said to be.
A: Monopolistic
B: oligopolistic

C: Monoposonistic
D: competitive
E: competitive
Solution: The correct answer to the Jamb question number 62 is 'B' which is 'oligopolistic'.
Question 63: The standard deviation of a set of data is.
A: always measured from the mode
B: always measured from the median
C: the most representative of averages
D: a measure of dispersion

E: a measure of dispersion
Solution: The correct answer to the Jamb question number 63 is 'D' which is 'a measure of dispersion'.
Question 64: A high rent on land will affect the cost of producing maize.
A: positively
B: negatively

C: at the early stage of production
D: at the later stage of production
E: at the later stage of production
Solution: The correct answer to the Jamb question number 64 is 'B' which is 'negatively'.
Question 65: A typical feature of a market economy is that.
A: all producers make profit
B: full employment exists
C: consumer sovereignty exists

D: there is equality of economic agents
E: there is equality of economic agents
Solution: The correct answer to the Jamb question number 65 is 'C' which is 'consumer sovereignty exists'.
Question 66: A strategy for curbing unemployment is to.
A: implement government stabilization policy
B: increase government expenditure and decrease taxes

C: increase taxes and decrease government expenditure
D: ensure even distribution of job opportunities
E: ensure even distribution of job opportunities
Solution: The correct answer to the Jamb question number 66 is 'B' which is 'increase government expenditure and decrease taxes'.
Question 67: High dependency ratio is influenced by.
A: high infant mortality rate
B: the level of income
C: high birth rate

D: inadequate medical care for children
E: inadequate medical care for children
Solution: The correct answer to the Jamb question number 67 is 'C' which is 'high birth rate'.
Question 68: Double counting is a problem in computing national income when using the.
A: expenditure method
B: income method
C: output method

D: value–added method
E: value–added method
Solution: The correct answer to the Jamb question number 68 is 'C' which is 'output method'.
Question 69: If a consumer plans to spend 120k on four oranges but spent 80k, his consumer surplus is.
A: N = 1.50
B: N = 1.00
C: N = 0.40

D: N = 2.0
E: N = 2.0
Solution: The correct answer to the Jamb question number 69 is 'C' which is 'N = 0.40'.
Question 70: To enhance the competitiveness of domestic agricultural products, there is need to.
A: ban the importation of agricultural products
B: increase the exportation of agricultural products
C: improve the quality of domestic agricultural products

D: increase the output of domestic agricultural products
E: increase the output of domestic agricultural products
Solution: The correct answer to the Jamb question number 70 is 'C' which is 'improve the quality of domestic agricultural products'.
Question 71: The short-run supply curve for medical doctors is more likely to be.
A: perfectly elastic
B: perfectly inelastic

C: fairly inelastic
D: fairly elastic
E: fairly elastic
Solution: The correct answer to the Jamb question number 71 is 'B' which is 'perfectly inelastic'.
Question 72: A decrease in supply without a corresponding change in demand will lead to.
A: an increase in equilibrium price and a decrease equilibrium quantity

B: a decrease in equilibrium price and an increase in equilibrium quantity
C: a decrease in equilibrium price and equilibrium quantity
D: an increase in equilibrium price and quantity
E: an increase in equilibrium price and quantity
Solution: The correct answer to the Jamb question number 72 is 'A' which is 'an increase in equilibrium price and a decrease equilibrium quantity'.
Question 73: The current industrial development strategy in Nigeria is aimed at encouraging.
A: small–scale industries
B: medium–scale Industries
C: small – and medium–scale Industries

D: medium–and large–scale Industries
E: medium–and large–scale Industries
Solution: The correct answer to the Jamb question number 73 is 'C' which is 'small – and medium–scale Industries'.
Question 74: A major assumption in cardinal utility theory is that.
A: utility is measurable

B: utility is not measurable
C: total utility equals marginal utility
D: total utility is constant
E: total utility is constant
Solution: The correct answer to the Jamb question number 74 is 'A' which is 'utility is measurable'.
Question 75: The choice of the method of production in an economy is determined by the.
A: level of income
B: rate of population growth
C: level of technical know-how

D: availability of natural resources
E: availability of natural resources
Solution: The correct answer to the Jamb question number 75 is 'C' which is 'level of technical know-how'.
Question 76: One of the characteristics of monopolistic competition is that.
A: there is mobility of factors of production

B: consumers have perfect knowledge of price
C: no single seller dominates the market
D: the firms are price – takers
E: the firms are price – takers
Solution: The correct answer to the Jamb question number 76 is 'A' which is 'there is mobility of factors of production'.
Question 77: The current industrial development strategy in Nigeria is aimed at encouraging.
A: small–scale industries
B: medium–scale Industries
C: small – and medium–scale Industries

D: medium–and large–scale Industries
E: medium–and large–scale Industries
Solution: The correct answer to the Jamb question number 77 is 'C' which is 'small – and medium–scale Industries'.
Question 78: If X = 6 and N = 6, determine the value of Efx..
A: 36

B: 12
C: 1
D: 72
E: 72
Solution: The correct answer to the Jamb question number 78 is 'A' which is '36'.
Question 79: Which of the following can be deduced from law of variable proportions when total output is rising?.
A: MP is greater than AP
B: MP is less than AP
C: MP is equal to AP
D: MP is equal to zero

E: MP is equal to zero
Solution: The correct answer to the Jamb question number 79 is 'D' which is 'MP is equal to zero'.
Question 80: An important function of the world bank is to.
A: provide short–term loans to members
B: encourage trade between members
C: promote capital–intensive productions
D: provide long–term loans to members

E: provide long–term loans to members
Solution: The correct answer to the Jamb question number 80 is 'D' which is 'provide long–term loans to members'.
Question 81: The amount of labour hired depends on the.
A: number of skilled labour available
B: marginal productivity of labour

C: skill of labour
D: price of other inputs
E: price of other inputs
Solution: The correct answer to the Jamb question number 81 is 'B' which is 'marginal productivity of labour'.
Question 82: Activities in the oil and gas industry are classified into.
A: oil exportation and distribution
B: refining and marketing of finished products
C: upstream and downstream

D: exploration and drilling
E: exploration and drilling
Solution: The correct answer to the Jamb question number 82 is 'C' which is 'upstream and downstream'.
Question 83: In the long run, one of the characteristics of monopolistic competitive firms is that the.
A: make abnormal profits

B: suffer losses
C: make normal profits
D: collude with each other
E: collude with each other
Solution: The correct answer to the Jamb question number 83 is 'A' which is 'make abnormal profits'.
Question 84: The ability of commercial banks to create money depends on the.
A: Ratio
B: liquidity ratio

C: interest rate
D: capital base
E: capital base
Solution: The correct answer to the Jamb question number 84 is 'B' which is 'liquidity ratio'.
Question 85: Price elasticity of demand is expressed as.
A: percentage change in price percentage change in quantity demanded
B: percentage change in quantity demanded percentage change in Income
C: percentage change in Income percentage change in quantity demanded
D: percentage change in quantity demande percentage change in price

E: percentage change in quantity demande percentage change in price
Solution: The correct answer to the Jamb question number 85 is 'D' which is 'percentage change in quantity demande percentage change in price'.
Question 86: A decrease in supply without a corresponding change in demand will lead to.
A: an increase in equilibrium price and a decrease equilibrium quantity

B: a decrease in equilibrium price and an increase in equilibrium quantity
C: a decrease in equilibrium price and equilibrium quantity
D: an increase in equilibrium price and quantity
E: an increase in equilibrium price and quantity
Solution: The correct answer to the Jamb question number 86 is 'A' which is 'an increase in equilibrium price and a decrease equilibrium quantity'.
Question 87: In national income accounting, tax is determined by the.
A: level of income

B: level of investment
C: level of consumption
D: rate of savings
E: rate of savings
Solution: The correct answer to the Jamb question number 87 is 'A' which is 'level of income'.
Question 88: In Nigeria, the location of a steel industry at Ajaokuta is due to.
A: the availability of transport network
B: the proximity to source of power
C: the proximity to large deposits of iron ore

D: political consideration.
E: political consideration.
Solution: The correct answer to the Jamb question number 88 is 'C' which is 'the proximity to large deposits of iron ore'.
Question 89: A strategy for curbing unemployment is to.
A: implement government stabilization policy
B: increase government expenditure and decrease taxes

C: increase taxes and decrease government expenditure
D: ensure even distribution of job opportunities
E: ensure even distribution of job opportunities
Solution: The correct answer to the Jamb question number 89 is 'B' which is 'increase government expenditure and decrease taxes'.
Question 90: If Nigeria imports vehicles from Japan, the transaction will appear as a.
A: debit on Japan’s balance of payments

B: credit on Nigeria’s balance of trade
C: credit on Japan’s balance of payments
D: credit on Nigeria’s balance of payments
E: credit on Nigeria’s balance of payments
Solution: The correct answer to the Jamb question number 90 is 'A' which is 'debit on Japan’s balance of payments'.
Question 91: The velocity of money is represented as.
A: money supply /real GDP

B: real GDPmoney supply
C: nominal GDP/real GDP
D: money supply/nominal GDP
E: money supply/nominal GDP
Solution: The correct answer to the Jamb question number 91 is 'A' which is 'money supply /real GDP'.
Question 92: Economics is the study of human behaviour as it relates to the.
A: efficient allocation of resources

B: operation of companies
C: production of goods
D: generation of income
E: generation of income
Solution: The correct answer to the Jamb question number 92 is 'A' which is 'efficient allocation of resources'.
Question 93: If government expenditure exceeds revenue, this results in.
A: balanced budget
B: national debt
C: budget deficit

D: budget surplus
E: budget surplus
Solution: The correct answer to the Jamb question number 93 is 'C' which is 'budget deficit'.
Question 94: To enhance the competitiveness of domestic agricultural products, there is need to.
A: ban the importation of agricultural products
B: increase the exportation of agricultural products
C: improve the quality of domestic agricultural products

D: increase the output of domestic agricultural products
E: increase the output of domestic agricultural products
Solution: The correct answer to the Jamb question number 94 is 'C' which is 'improve the quality of domestic agricultural products'.
Question 95: The reform in the banking sector in Nigeria is principally motivated by the need to.
A: increase the capital base of banks

B: provide more money to run the economy
C: minimize the rate of bank failures
D: enhance efficiency in bank operations
E: enhance efficiency in bank operations
Solution: The correct answer to the Jamb question number 95 is 'A' which is 'increase the capital base of banks'.
Question 96: The ability of commercial banks to create money depends on the.
A: Ratio
B: liquidity ratio

C: interest rate
D: capital base
E: capital base
Solution: The correct answer to the Jamb question number 96 is 'B' which is 'liquidity ratio'.
Question 97: A movement along the same demand curve is caused by the.
A: price of the product

B: price of other products
C: income of the consumer
D: taste of the consumer
E: taste of the consumer
Solution: The correct answer to the Jamb question number 97 is 'A' which is 'price of the product'.
Question 98: High dependency ratio is influenced by.
A: high infant mortality rate
B: the level of income
C: high birth rate

D: inadequate medical care for children
E: inadequate medical care for children
Solution: The correct answer to the Jamb question number 98 is 'C' which is 'high birth rate'.
Question 99: If commodity X is a by-product of commodity Y, this implies that both commodities are.
A: in competitive supply
B: jointly supplied
C: in composite supply

D: in excess supply
E: in excess supply
Solution: The correct answer to the Jamb question number 99 is 'C' which is 'in composite supply'.
Question 100: The marginal product of the 5th unit of capital is.
A: 42
B: 85
C: 114
D: 213

E: 213
Solution: The correct answer to the Jamb question number 100 is 'D' which is '213'.