POST UTME UNIOSUN 2022 Economics | Objective

Practice these randomly selected questions to test your readiness.

Question 1
Determine the returns to scale of a firm with a production function Q = 2x^2y^3, where Q is output and x and y are inputs.
A. Increa\sing Returns to Scale
B. Decrea\sing Returns to Scale
C. Cons\tant Returns to Scale
D. No Returns to Scale
Question 2
A country's balance of payments is given by the equation BOP = X - M + F - I. If the country's exports are ₦150 billion, imports are ₦100 billion, foreign aid is ₦50 billion, and investment income is ₦25 billion, what is the country's balance of payments?
A. ₦75 billion
B. ₦100 billion
C. ₦125 billion
D. ₦150 billion
Question 3
A monopolistically competitive firm faces a demand curve with the following equation: Q = 100 - 2P. If the firm's marginal \cost is cons\tant at 20, what is the optimal price it should charge for its product?
A. ₦40
B. ₦30
C. ₦20
D. ₦10
Question 4
The concept of inflation refers to a sustained increase in the general price level of goods and services in an economy over time.
A. True
B. False
C. Maybe
D. It dep\ends
Question 5
A consumer's indifference curve is given by the equation ( u(x,y) = 2x + 3y ). If the consumer's income is ₦1000 and the prices of x and y are ₦5 and ₦10 respectively, what is the consumer's optimal bundle?
A. x = 40, y = 20
B. x = 30, y = 30
C. x = 20, y = 40
D. x = 10, y = 50
Question 6
A country's GDP is given by the equation GDP = C + I + G + \( X - M \). If the country's consumption is ₦100 billion, investment is ₦50 billion, government sp\ending is ₦75 billion, exports are ₦150 billion, and imports are ₦100 billion, what is the country's GDP?
A. ₦275 billion
B. ₦300 billion
C. ₦325 billion
D. ₦350 billion
Question 7
A monopolistically competitive firm faces a downward-sloping demand curve and has the ability to differentiate its product from that of its competitors.
A. True
B. False
C. Maybe
D. It dep\ends
Question 8
A firm operating in a perfectly competitive market is considering an increase in production. If the firm's average \cost curve shifts to the right, what will happen to its profit-maximizing output level?
A. The firm will increase its profit-maximizing output level.
B. The firm will decrease its profit-maximizing output level.
C. The firm's profit-maximizing output level will remain unchanged.
D. The firm will shut down immediately.
Question 9
A firm produces two goods, A and B. The production of Good A requires 2 units of labor and 1 unit of capital, while the production of Good B requires 1 unit of labor and 2 units of capital. If the firm has 10 units of labor and 8 units of capital, what is the opportunity \cost of producing 5 units of Good A?
A. 2 units of Good B
B. 3 units of Good B
C. 4 units of Good B
D. 5 units of Good B
Question 10
The Gross Domestic Product (GDP) of a country is a measure of the total value of all final goods and services produced within a country's borders during a specific time period.
A. True
B. False
C. Maybe
D. It dep\ends
Question 11
The concept of scarcity in economics implies that the production of one good is limited by the availability of resources, which can be used to produce other goods. This is an example of a fundamental economic problem.
A. True
B. False
C. Maybe
D. It dep\ends
Question 12
A central bank uses a monetary policy tool to increase the money supply by 10%. If the initial money supply is ₦100 billion, what is the new money supply?
A. ₦110 billion
B. ₦110.1 billion
C. ₦110.5 billion
D. ₦110.9 billion
Question 13
The government of a country is considering a new tax policy. The tax rate is 20% of the income, and the income is ₦100,000. If the government wants to collect ₦20,000 in tax revenue, what is the optimal tax rate?
A. 10%
B. 20%
C. 30%
D. 40%
Question 14
A government imposes a tax on a firm's output, cau\sing the firm's supply curve to shift to the left. If the firm's initial supply curve is given by Q = 100 - 2P and the tax causes the supply curve to shift to Q = 80 - 2P, what is the deadweight loss?
A. ₦20
B. ₦40
C. ₦60
D. ₦80
Question 15
A monopolist faces a demand curve given by \( Q = 100 - 2P \). If the firm's marginal \cost is ₦20, what is the profit-maximizing price?
A. ₦40
B. ₦30
C. ₦20
D. ₦10

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