economics

What does the accelerator principles state?

A. Consumption is a function of the rate of change of income B. income is a function of the rate…

4 years ago

The total stock of money available for use in an economy is?

A. supply of money B. value of money C. demand for money D. attribute of money Correct Answer: Option A…

4 years ago

The situation whereby the government of a country spends more than its budgets for a given financial year is known as?

A. surplus budget B. deficit budget C. balanced budget D. minus budget Correct Answer: Option B - deficit budget Explanation…

4 years ago

In which of the following economic systems do we have the means of production and exchange controlled by private individuals?

A. socialist system B. mixed system C. capitalist system D. traditional system Correct Answer: Option C - capitalist system Explanation…

4 years ago

Disposable income is total income ______?

A. less tax B. divided by tax C. plus tax D. multiplied by tax Correct Answer: Option A - less…

4 years ago

The study of broad economic aggregates is?

A. Macro economics B. deductive method of economic analysis C. micro economics D. Inductive method of economics analysis Correct Answer:…

4 years ago

The income of an individual increases from N150 to N250 and his consumption rate increases from N100 to N150. Calculate the Marginal Propensity to Consume?

A. 2 B. 0.4 C. 1 D. 0.5 Correct Answer: Option D - 0.5 Explanation The Marginal Propensity to Consume…

4 years ago

The term of trade can be expressed as?

A. (Price index of export ÷ Price index of export) × 100 B. (price index of import ÷ price index…

4 years ago

What would be likely to increase inflation in any economy?

A. Increase in demand B. Reduce public spending C. Control excessive import D. Increase indirect tax Correct Answer: Option A…

4 years ago

The curve labeled III illustrate a system of taxation?

A. regressive tax B. progressive tax C. value added tax D. proportional tax Correct Answer: Option A - regressive tax…

4 years ago