Post Utme Covenant University 2023 Economics Question 35

Practice objective / multiple choice question 35 from the 2023 Post Utme Covenant University Economics examination.

Post Utme Covenant University 2023 Economics Objective / Multiple Choice
Question 35 POST_UTME_COVENANT_UNIVERSITY • 2023 • ECONOMICS • objective

The government of Nigeria has implemented a policy to increase the production of agriculture in the country. The policy includes providing subsidies to farmers and increa\sing the importation of agricultural equipment. However, the policy has led to an increase in the price of agricultural products in the country. What is the likely effect of this policy on the Nigerian economy?

Answer Options

A. An increase in the production of agriculture in Nigeria will lead to a decrease in the price of agricultural products in the country, resulting in an increase in the demand for agricultural products.
Correct Answer B. The policy will lead to an increase in the production of agriculture in Nigeria, resulting in an increase in the price of agricultural products in the country.
C. The policy will lead to a decrease in the production of agriculture in Nigeria, resulting in a decrease in the price of agricultural products in the country.
D. The policy will have no effect on the production of agriculture in Nigeria.
Correct Answer
B
Correct Option:
The policy will lead to an increase in the production of agriculture in Nigeria, resulting in an increase in the price of agricultural products in the country.

About This Question

This is Post Utme Covenant University 2023 Economics Question 35. It is one of the objective questions from the 2023 Post Utme Covenant University Economics examination.

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