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Economics Past Questions

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4501

Given that a country's index of export price is 180 and that of import is 200, the terms of trade is

  • A. 0.09
  • B. 2.00
  • C. 90.00
  • D. 380.00
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4502

A benefit that is present in all forms of economic integration is that

  • A. factors of production are free to move and be moved
  • B. common currency is in use
  • C. common agricultural policy is in place
  • D. the size of the market is widened
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4503

The main function of the African Development Bank (AFDB) is to

  • A. promote free trade and development among members
  • B. provide loans to finance balance of payment problems
  • C. provide loans to members to finance viable projects
  • D. help members overcome their internal problems
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4504

If petrol is no longer needed to produce energy, then demand for crude oil

  • A. will increase
  • B. will remain constant
  • C. may be limited to chemical industries
  • D. will make producing countries richer
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4505

There is unemployment of resources when production is

  • A. within the production possibility curve
  • B. outside the production possibility curve
  • C. along the production possibility curve
  • D. adequate to meet market demand
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