JAMB and WAEC Economics questions

745 questions with answers and explanations. Tap an option to check yourself.

1. Question 261· International economic organisations· WAEC

   The main aim of the Economic Community of West African States (ECOWAS) is to

   • Aprovide military rule
   • Bgrant loans to individuals
   • Cfix world oil prices
   • Dpromote economic integration among member states

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   Explanation and discussion

2. Question 262· International economic organisations· JAMB

   The African Development Bank finances mainly

   • AEuropean businesses
   • Bdevelopment projects in African countries
   • Coil cartels
   • Dprivate consumers

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   Explanation and discussion

3. Question 263· International economic organisations· WAEC

   The organisation that sets rules for international trade and settles trade disputes is the

   • AAfrican Development Bank
   • BWorld Trade Organisation (WTO)
   • CECOWAS
   • DInternational Labour Organisation

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4. Question 264· International economic organisations· WAEC

   The World Bank (IBRD) was set up mainly to

   • Aprovide long-term loans for reconstruction and development
   • Bfix exchange rates
   • Cset oil prices
   • Dsettle trade disputes

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5. Question 265· International trade· WAEC

   International trade arises mainly because

   • Acountries differ in their resources
   • Ball countries produce the same goods
   • Cthere is no transport
   • Dprices are the same everywhere

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6. Question 266· International trade· JAMB

   Nigeria's export price index is 150 and its import price index is 120. Its terms of trade are

   • A80
   • B125
   • C270
   • D30

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7. Question 267· International trade· WAEC

   A deficit in the balance of payments can be corrected by

   • Aborrowing forever
   • Bincreasing imports
   • Creducing exports
   • Dreducing imports and increasing exports

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   Explanation and discussion

8. Question 268· International trade· JAMB

   A quota in international trade is

   • Aa subsidy
   • Ba tax on imports
   • Ca ban on all trade
   • Da limit on the quantity of a good that may be imported

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9. Question 269· International trade· JAMB

   Invisible trade includes

   • Amachinery
   • Bcrude oil
   • Ccocoa
   • Dshipping, insurance and tourism

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10. Question 270· International trade· JAMB

    An import quota is

    • Aa tax on exports
    • Ba limit on the quantity of goods imported
    • Ca loan
    • Da subsidy

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    Explanation and discussion

11. Question 271· International trade· JAMB

    Visible trade refers to trade in

    • Acapital
    • Bservices
    • Cgoods
    • Dtourism

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12. Question 272· International trade· JAMB

    A floating exchange rate is determined by

    • Ademand and supply of currencies
    • Bthe government alone
    • Cthe IMF alone
    • Da fixed gold standard

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    Explanation and discussion

13. Question 273· International trade· JAMB

    The exchange rate is

    • Athe tax on imports
    • Bthe interest rate on loans
    • Cthe rate of inflation
    • Dthe price of one currency in terms of another

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14. Question 274· International trade· WAEC

    The balance of trade is the difference between

    • Ainvisible exports and imports
    • Ball receipts and all payments
    • Ccapital inflows and outflows
    • Dvisible exports and visible imports

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15. Question 275· International trade· WAEC

    Dumping means

    • Abanning imports
    • Bimporting raw materials
    • Cselling goods abroad below cost or home price
    • Dexporting at high prices

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16. Question 276· International trade· WAEC

    Comparative cost advantage means a country should specialise in goods it produces at

    • Alower opportunity cost
    • Bhigher cost
    • Cno cost
    • Dthe same cost as others

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17. Question 277· International trade· JAMB

    Protectionism is justified on the grounds of

    • Alowering prices for consumers
    • Braising world efficiency
    • Cprotecting infant industries
    • Dencouraging dumping

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18. Question 278· International trade· WAEC

    A country should specialise in producing the goods in which it has

    • Athe highest import duty
    • Ban absolute disadvantage
    • Ca comparative advantage
    • Dthe fewest workers

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19. Question 279· International trade· WAEC

    Devaluation of a currency is intended to

    • Amake imports cheaper
    • Bmake exports cheaper abroad
    • Craise inflation
    • Dreduce exports

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    Explanation and discussion

20. Question 280· International trade· WAEC

    Devaluation of the naira is expected to

    • Araise the external value of the naira
    • Bmake imports cheaper
    • Creduce exports
    • Dmake Nigerian exports cheaper abroad

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    Explanation and discussion