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2024/2025 WAEC GCE ECONOMICS OBJ AND ESSAY EXPO | ECONOMICS QUESTIONS AND ANSWERS VERIFIED
ECONOMICS-OBj
1-10: CABACCBBCC
11-20: CDBAABCCCA
21-30: CCADBAACDB
31-40: BBABDBABAC
41-50: CCABCBCBCC
Section (A) Answer (1) pick
From 1 or 2 only Section (B) Answer
Only (3).
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(5a)
(i) A direct tax is imposed directly on income of individuals or organisations WHILE Indirect Tax is imposed on goods and services.
(ii) Direct Tax burden is borne by the payer WHILE Indirect Tax burden is borne by the producer.
(iii) The tax payers in a direct tax is aware of the payment of such tax WHILE the tax payers under indirect tax are not aware of the amount being paid for such tax.
(5b)
DIRECT TAX:
-Capital gain tax
-tax
-Company tax
-Property tax
INDIRECT TAX:
-Import duty
-Export duty
-Value added tax
(5c)
(i) It helps to Protect infant industries.
(ii) It is a source of government revenue.
(iii) It helps to correct balance of payment deficit.
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(2di and 2dii)
Draw the diagram.
CLICK HERE FOR THE IMAGE
(2ai)
Percentage change in price = change in price/old price × 100%
= $6.00 – $5.00/$5.00 × 100%
= 1/5 ×100%
= 20%
(2aii)
percentage change in quantity supplied = change in supply/old supply × 100%
= 80kg – 75kg/75kg × 100%
= 5/75 × 100%
100/15%
= 6⅔% or 6.67%
(2b)
coefficient of price elasticity of supply = %change in supply/%change in price
= 100/15 ÷ 20
= 100/15 × 1/20
= 5/15
= 1/3 or 0.333
(2c)
(i) The supply is inelastic since elasticity is less than one.
(ii) Elasticity is less than one.
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(8a)
Economic development is the process by which the economic well-being and quality of life of a nation, region or local community are improved.
(8b)
(i)Assist African governments to improve a business enabling environment.
(ii)Create strong demonstration effect by assisting entrepreneurs to achieve success with a select number of transactions.
(iii)Non-sovereign guaranteed (NSG) lending activities in the area ofIndustries & Services
(8c)
(i)To provide long-run capital to member countries for economic reconstruction and development.
(ii)To induce long-run capital investment for assuring Balance of Payments (bop) equilibrium and balanced development of international trade.
(iii)To provide guarantee for loans granted to small and large units and other projects of member countries.
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(6a)
central bank is an independent national authority that conducts monetary policy, regulates banks, and provides financial services including economic research. Its goals are to stabilize the nation’s currency, keep unemployment low, and prevent inflation.
(6b)
(i)Issue of Currency:
The central bank is given the sole monopoly of issuing currency in order to secure control over volume of currency and credit.
(ii)Exchange Control:
Another duty of a central bank is to see that the external value of currency is maintained. For instance, in India, the Reserve Bank of India takes steps to ensure external value of a rupee
(iii)Collection and Publication of D4ta: It has also been entrusted with the task of collection and compilation of statistical information relating to banking and other financial sectors of the economy.
(iv)Custodian of Foreign Exchange or Balances: It keeps a close watch on external value of its currency and undertakes exchange management control. All the foreign currency received by the citizens has to be deposited with the central bank
(6c)
(i)central banks can increase the amount of money in circulation by simply printing it. They can print as much money as they want, though there are consequences for doing so.
(ii)central banks mandate depository institutions to keep a certain amount of funds in reserve against the amount of net transaction accounts. Thus a certain amount is kept in reserve, and this does not enter circulation.
(iii)central bank cannot directly set interest rates for loans such as mortgages, auto loans, or personal loans. However, the central bank does have certain tools to push interest rates towards desired levels.
(iv)Central banks affect the quantity of money in circulation by buying or selling government securities through the process known as open market operations (OMO).
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(7a)
Inflation may be defined as a persistent rise in the general price level of goods and services. Inflation occurs when the volume of purchases is permanently running ahead of production, with too much money in circulation chasing too few goods.
(7b)
[Choose Any Three]
(i)Reduction in burden of debt : During inflation debtors gain because there is too much money in circulation,which will enable them to pay their debts with ease.
(ii)Higher profit margin : Because producers are selling their goods at higher prices,this will lead to higher profits.
(iii)Higher tax yield:As a result of high volume of money in circulation, government is able to realise high yield from taxes
(iv)Higher output:Higher prices of goods and services during inflation encourage producers to embark on large scale production,resulting in greater output.
(7c)
[Choose Any three]
(i)Decline in profits: Deflation causes a decline in profits as a result of low volume of money in circulation
(ii)Fall in prices of goods:As a result of decline in the volume of money in circulation, the prices of goods and services tend to fall.
(iii)It discourage imports: Goods imported are generally more expensive and there is no hope of selling such goods in an economy that is experiencing deflation
(iv)Fixed income earners gain: During the period of deflation,Fixed income earners gain because wages are fixed and they are able to buy more goods and services
(v)It result in unemployment and creditors gain: Deflation brings about unemployment in the labour market and creditors gain because money has added value during the period of deflation
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