Post Utme Unilag 2025 Economics Question 16

Practice objective / multiple choice question 16 from the 2025 Post Utme Unilag Economics examination.

Post Utme Unilag 2025 Economics Objective / Multiple Choice
Question 16 POST_UTME_UNILAG • 2025 • ECONOMICS • objective

U\sing the Marshall-Lerner condition, determine whether a country will experience an improvement in its balance of payments position if the price elasticity of demand for its exports is 0.5 and the price elasticity of demand for its imports is 2.0.

Answer Options

Correct Answer A. The country will experience an improvement in its balance of payments position.
B. The country will experience a deterioration in its balance of payments position.
C. The country's balance of payments position will remain unchanged.
D. Insufficient information to determine the outcome.
Correct Answer
A
Correct Option:
The country will experience an improvement in its balance of payments position.

About This Question

This is Post Utme Unilag 2025 Economics Question 16. It is one of the objective questions from the 2025 Post Utme Unilag Economics examination.

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