POST UTME NOUN 2017 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
A country's GDP is given by the equation Y = C + I + G + \( X - M \). If the consumption function is C = 100 + 0.8Y, the investment function is I = 200 + 0.2Y, the government sp\ending function is G = 300, the export function is X = 400 + 0.5Y, and the import function is M = 200 + 0.2Y, what is the equilibrium level of GDP?
A. ₦1000
B. ₦1500
C. ₦2000
D. ₦2500
Question 2
A central bank increases the reserve requirement for commercial banks. What is the likely effect on the money supply?
A. Increase
B. Decrease
C. No change
D. Indeterminate
Question 3
The concept of elasticity of demand is crucial in unders\tanding the responsiveness of consumers to changes in the price of a commodity. Which of the following statements best describes the law of demand?
A. As the price of a commodity increases, the quantity demanded decreases.
B. As the price of a commodity decreases, the quantity demanded increases.
C. The law of demand states that the quantity demanded of a commodity is inversely related to its price.
D. The law of demand states that the quantity demanded of a commodity is directly related to its price.
Question 4
A monopolist faces a demand curve given by Q = 100 - 2P and a marginal revenue curve given by MR = 20 - 2Q. What is the monopolist's optimal price?
A. $10
B. $15
C. $20
D. $25
Question 5
A country is experiencing a recession due to a decrease in aggregate demand. What will happen to the country's unemployment rate?
A. The unemployment rate will increase.
B. The unemployment rate will decrease.
C. The unemployment rate will remain the same.
D. The unemployment rate will increase, but the inflation rate will decrease.
Question 6
A monopolist faces a demand curve given by Q = 100 - 2P. If the marginal \cost is ₦10, what is the profit-maximizing price?
A. ₦20
B. ₦30
C. ₦40
D. ₦50
Question 7
A firm in Nigeria produces a good with a cons\tant elasticity of demand. If the price of the good increases by 10%, what happens to the quantity demanded?
A. Quantity demanded increases by 10%
B. Quantity demanded decreases by 10%
C. Quantity demanded remains the same
D. Quantity demanded increases by 20%
Question 8
The Nigerian economy has experienced significant growth in recent years. Which of the following indicators best reflects the growth of the Nigerian economy?
A. Gross Domestic Product (GDP)
B. Gross National Product (GNP)
C. National Income
D. Personal Income
Question 9
The Nigerian government has implemented various policies to promote industrialization in the country. Which of the following policies is most likely to increase the production of textiles in Nigeria?
A. Import duty on textile materials
B. Subsidy on textile production
C. Investment in textile machinery
D. Export duty on textile products
Question 10
A country has a trade deficit of $100 million and a current account deficit of $50 million. What is the likely effect on the exchange rate?
A. Appreciation
B. Depreciation
C. No change
D. Indeterminate
Question 11
A firm has a production function 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 hires 4 units of labor and 9 units of capital, what is the output?
A. 12 units
B. 15 units
C. 18 units
D. 20 units
Question 12
A country's GDP is ₦1,500 billion, its imports are ₦300 billion, and its exports are ₦400 billion. What is its balance of trade?
A. ₦100 billion surplus
B. ₦200 billion deficit
C. ₦300 billion deficit
D. ₦400 billion surplus
Question 13
A country has a money supply of ₦1,000 billion and a velocity of circulation of 2. If the central bank wants to increase the money supply by 10%, what is the new money supply?
A. ₦1,100 billion
B. ₦1,050 billion
C. ₦1,200 billion
D. ₦1,300 billion
Question 14
A country's GDP is $100 billion, its government exp\enditure is $20 billion, and its private consumption is $60 billion. What is the country's savings rate?
A. 10%
B. 20%
C. 30%
D. 40%
Question 15
A country's balance of payments account shows a trade deficit of $100 billion and a capital account surplus of $50 billion. What is the overall balance of payments position?
A. Trade deficit of $50 billion
B. Trade surplus of $50 billion
C. Capital account surplus of $50 billion
D. Overall balance of payments deficit of $50 billion

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