POST UTME BSU 2022 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A firm's \cost function is given by C = 2L + 3K, where C is the \cost, L is the labor and K is the capital. If the firm wants to minimize its \cost and the labor is 10 units, what is the optimal capital?
A. ₦30
B. ₦40
C. ₦50
D. ₦60
Question 2
A firm's production function is given by Q = 2L^0.5K^0.5. If the firm uses 16 units of labor and 9 units of capital, what is the marginal product of labor?
A. 0.5
B. 1
C. 1.5
D. 2
Question 3
A country's GDP is ₦100 billion, and its GNP is ₦120 billion. What is the net factor income from abroad (NFIA) in this country?
A. ₦20 billion
B. ₦10 billion
C. ₦5 billion
D. ₦15 billion
Question 4
A consumer's budget constraint is given by 2X + 3Y = 12. If the consumer's indifference curve is given by U = X^0.5Y^0.5, what is the consumer's optimal bundle?
A. X = 2, Y = 4
B. X = 3, Y = 3
C. X = 4, Y = 2
D. X = 6, Y = 1
Question 5
The supply curve for a product is given by the equation Qs = 2P - 10, where Qs is the quantity supplied and P is the price. If the price is 15, what is the quantity supplied?
A. 10
B. 15
C. 20
D. 25
Question 6
Suppose a firm is producing a good with a production function Q = 2L^0.5K^0.5, where Q is the quantity produced, L is the labor input, and K is the capital input. If the firm's current labor input is 16 units and capital input is 9 units, what is the marginal product of labor (MPL) when the firm is producing at this level of inputs?
A. \( MPL = \frac{1}{2}K^0.5 \)
B. \( MPL = \frac{1}{2}L^0.5 \)
C. \( MPL = 2L^0.5K^0.5 \)
D. \( MPL = 2K^0.5 \)
Question 7
Agricultural production in Nigeria is characterized by low productivity and low output. What could be the possible reasons for this?
A. Low investment in agricultural research and development
B. High population growth rate
C. Climate change
D. All of the above
Question 8
Suppose the demand for a product is given by the equation Qd = 100 - 2P, where Qd is the quantity demanded and P is the price. If the price elasticity of demand is -2, what is the percentage change in quantity demanded when the price increases by 10%?
A. -20%
B. -10%
C. 0%
D. 10%
Question 9
A consumer's budget constraint is given by P_xX + P_yY = I, where P_x and P_y are the prices of goods X and Y, respectively, X and Y are the quantities of goods X and Y consumed, and I is the consumer's income. If the consumer's income is I = 100, the price of good X is P_x = 10, and the price of good Y is P_y = 20, what is the consumer's optimal quantity of good X?
A. 2
B. 4
C. 6
D. 8
Question 10
A firm's demand curve is given by Q = 100 - 2P. If the firm's marginal \cost is given by MC = 2 + 0.5Q, what is the profit-maximizing quantity?
A. 20
B. 30
C. 40
D. 50
Question 11
A country's GDP at market price is ₦10,000 billion. The implicit deflator is 120. What is the GDP at cons\tant price?
A. ₦80,000 billion
B. ₦100,000 billion
C. ₦120,000 billion
D. ₦150,000 billion
Question 12
A government imposes a tax of ₦10 on every unit of a product. If the supply curve is given by Qs = 2P - 10, what is the new supply curve after the tax is imposed?
A. Qs = 2P - 20
B. Qs = 2P - 15
C. Qs = 2P - 10
D. Qs = 2P + 10
Question 13
A firm's production function is given by Q = 2L^0.5K^0.5, where L is labor and K is capital. If the firm's current labor and capital inputs are L = 4 and K = 9, respectively, what is the firm's total product of labor (TPL) at this point?
A. 8
B. 16
C. 32
D. 64
Question 14
A firm's production function is given by Q = 2L^0.5K^0.5, where Q is the output, L is the labor and K is the capital. If the firm wants to increase its output by 20% and the labor is increased by 10%, what is the percentage change in capital?
A. -5%
B. -10%
C. -15%
D. -20%
Question 15
The government of Nigeria has implemented a policy to increase agricultural production. What could be the possible reasons for this policy?
A. To increase food security
B. To reduce poverty
C. To increase economic growth
D. All of the above

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