JAMB ECONOMICS POSSIBLY QUESTIONS 2021Like we did for Biology and Chemistry , we again studied the JAMB economics syllabus and the examination question pattern for the last 10 ten years. We found out that the questions followed a regular pattern.


We therefore, without hesitation handpicked questions following the order having a high probability of being set. Scroll down to see the questions. Also, see jamb 2020 Economics Area of concentration.



  1. The main economic objective behind the production of goods and services in any economy is to A. Maximize profits B. Satisfy human wants C. Become self-reliant D.Create job opportunities E.Make people wealthy.
  3. Demand for a commodity by a consumer is the quantity of that commodity that the consumer A. Demands at a given price at a point in time B. Demands at a given price C. Actually digests D. Produces, given its price E. Can store away during bad weather.
  4. Division of labour is limited by A. The size of the market B. The productivity of capital C. Cost of production D. The factors of production E. Government policy.
  5. The production within the domestic territory of a country is called the A. Net national product B. Gross domestic product C. Net income D. Disposable income E. Gross national product.
  6. The advantages that accrue to a firm as the size of the firm increases are known as A. External diseconomies B.Internal returnes to scale C. Internal economies D.Internal diseconomies E. Constant returns to scale.
  7. The production within the domestic territory of a country is called the A. Net national product B. Gross domestic product C. Net income D. Disposable income E. Gross national product.
  8. Which of the following is NOT an obstacle to economic development? A. Low level of investmentB. Lack of modern technology C. High rate of population growth D. Low productivityE. Dedicated leadership.
  9. An ageing population refers to the preponderance on A. Middle-aged people in the population B. Young people in the population C. Women in ht population D. Old men in the population E. Old people in the population.
  10. The population level that yields the maximum output when combined with available resources is known as A. Dependent population B. Maximum population C. Active population D. Production population E. Optimum population.
  11. Which of the following is NOT a determinant of the size of the economically active population? A. Age structure B. Occupation of workers C. Proportion of men to women D. Average length of the working day E. Efficiency of the labour force.
  12. Pricing and output decisions of sellers are highly interdependent in markets known as A. Oligopoly B. Perfect competition C. Monopoly D. Monopolistic competition E. Imperfect competition.
  13. For two substitute goods, the cross elasticity of demand is A. Greater than one but less than two B. Zero C. Negative D. Positive E. Infinity.

13. One disadvantage of sole proprietorship is its A. Limited liability B. High profits C. High sense of ownership D. Low credit rating E. Low failure rate.

14. The Channel for food distribution in Nigeria consists of A. Farmers and their families B. Producers, wholesalers and retailers C. Producers and consumers D. Producers and processor E. Farmers. Processors and consumers.

15. For a non-discriminating monopolist in Nigeria, price at the profit maximizing output is A. Equal to marginal cost B. Greater than marginal cost C. Greater than average total cost D. Equal to marginal revenue E. Equal to total revenue. JAMB ECONOMICS POSSIBLY QUESTIONS 2021

16. The economic goal of public utilities is to A. Maximize profits B. Expand assets C Minimize cost D.Provide essential services E. Pay higher dividends to shareholders.

17. Generally property taxes A. Are borne entirely by landlords B. Cannot be shifted in the long run C. Are borne by all (renters, owner-occupiers and landlords) D. Are borne only by renters E. A23. The inefficient distribution of scarce commodities in Nigeria is mostly due tot he A. Inefficiency of the middleman B. Inefficiency in the production process C. Long chain of the distribution system D. Sovereignty of the consumers E. Ineffectiveness of retailers JAMB ECONOMICS POSSIBLY QUESTIONS 2021

24. Warehousing facilities in the distribution and marketing of products are provided by A. Manufacturers B. Wholesalers C. Retailers D. Consumers E. Sellers.

25. The petro-chemical industries are located in the Rivers State of Nigeria due to A. Favourable climate B. Favourable soil C. Oil deposits D. Palm oil products E. Coal deposits.

26. The Nigerian Bank for Commerce and Industry is A. A commercial bank B. A development bank C. An industrial bank D. A merchant bank.

27. Which of the following is NOT a goal of modern budgets? A. The control of inflation B. The reduction in income inequlaity C. The shift of all resources from the private to the public sector D. Economic development.

28. To control inflation, the monetary authorities of a country can A. Reduce taxes B. Advise government to increase its expenditure C. Engage in expansive monetary policy D. Engage in restrictive monetary policy.

29. Tax incidence is the analysis of A. How progressive a tax is B. How a tax is collected C. How distorting a tax is D. Who ultimately pays the tax.

30. In International trade, country specializes in the produc tion of a commodity or group of commodities for which it has A. A buoyant market B. Plenty of raw materials C. The greatest relative advantage D. Executive manpower.

31. Balance of payments deficit in Nigeria CANNOT be solved by A. Importing more goods and services B. Devaluation of the currency C. Imposing import duties D. Imposing import bans on some commodities.

32. Which of the following strategies will provide more employment opportunities for Nigerians? A. Investment in social services B. Industrialization C. Economic planning D. Eradication of illiteracy.33. A nation’s distribution of income shows A. The value of all goods produced in the economy B. How income is dividend among different groups C. Where the economy system is on its production possibility curve D. The consumption behaviour of the people.

34. The terms of trade is often measured by the ratio of the index of export prices A. Divided by the index of import prices multiplied by 100 B. Multiplied by the index of import prices C. Plus the index of import prices multiplied by 100 D. Minus the index of import prices.

35. In order to raise more revenue for a certain period, government should impose higher taxes on goods whose demand is A. Elastic B. Inelastic C. Perfectly elastic D. Unitary elastic.

36. Transfer payments are A. Transfer earnings B. Money transferred from one country to another C. Unearned income D. Payment transferred from one account to another.

37. A budget with a projected revenue in excess of its expenditure is said to be A. Balanced B. Surplus C. Deficit D. Inflationary.

38. Which of the following applies to a commodity sold abroad at a price lower than that in the producing country? A. Dumping B. Counter-trade C. Bilateral trade D. Trade liberalization.

39. The difference between personal income and personal disposable income is A. Personal income tax B. Investment income C. Personal savings D. Consumption expenditure.

40. Capital consumption allowance refers to A. Personal consumption expenditure B. Indirect business taxes C. Depreciation of capital equipment D. expenditure on capital equipment.

41. Economic development is defined as A. Positive change plus growth B. Availability of more goods and services C. Outward shift of the production possibility curve D. Growth in the national income.

42. Scarcity in economics means that A. Human wants are limitless B. The economy has very few resources C. The economy can scarcely produce anything D. Resources are limited in relation to wants.

43. When a variable is associated with time period, it is A. A flow B. A stock C. Circular D. Static.

44. The output at which total revenue equals total cost is known as A. Profit-maximizing output B. Break-even level output C. Loss-minimizing output D. Least-cost output.

45. Air is essential to life but commands no price! Diamond is not essential to life but commands a high price! This is the paradox of A. Thrift B. Value C. Abundance D. Scarcity.

46. The output at which total revenue equals total cost is known as A. Profit-maximizing output B. Break-even level output C. Loss-minimizing output D. Least-cost output.

47. Optimum population is the population level at which A. Death rate is at a minimum B. Per capita income is at maximum C. Population is at a miximum D. Death rate is equal to birth rate.48. A perfect example of a public good is A. Air B. Education C. Defence D. transport.

49. The group of people engaged in banking or insurance services by occupational distributions are clasified as A. Primary producers B. Secondary producers C. Tertiary producers D. Technical producers.

50. A sustained increase in the per capita income of a country over a period of time is called A. Economic growth B. Economic development C. Structural change D. Stagflation

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