Q. (a) Describe the difference between explicit costs and implicit costs by definition, concept and appropriate examples. (12 marks) (b) Describe the difference between Gross Domestic Product (GDP) and Gross Read More …
Tag: 1.3
External factors on Demand Curve Q6
Q. (a) The above diagram shows the demand curve (DD) and the supply curve (SS) for a perfectly competitive industry. Discuss the relationship that occurs with P if D1Q1 switches Read More …
Market Structures and Perfect Competition Q7
Q. (a) Explain the following terms in the context of the market structure. (i) Monopolistic (3 marks) (ii) Oligopoly (3 marks) (iii) Monopsony (3 marks) (iv) Oligopsony (3 marks) (b) Read More …
Functions of commercial banks Q8
Q. (a) Describe the main functions of commercial banks based on the following three (3) aspects (i) Acceptance of deposits (4 marks) (ii) Loan facilities (4 marks) (iii) Banking services Read More …
Free Market System Q1
Q. b) Explain the advantages and disadvantages of the following economic systems:- i) Central command system. (5 marks) ii) Free market system. (5 marks) iii) Regulated or mixed market system. Read More …
Mixed Economy Q1
Q. b) Explain the advantages and disadvantages of the following economic systems:- i) Central command system. (5 marks) ii) Free market system. (5 marks) iii) Regulated or mixed market system. (5 Read More …
Central Command System Q1
Q. b) Explain the advantages and disadvantages of the following economic systems:- i) Central command system. (5 marks) ii) Free market system. (5 marks) iii) Regulated or mixed market system. Read More …
Degrees of inflation Q5
Q.b) Define inflation and explain the different degrees of inflation. (8 marks) (8 marks, 2013 Q5b) A.Inflation is associated with rising price. It is a situation in which there is Read More …
Characteristics of Money as Medium of Exchange Q6
Q.b) Explain the characteristics of money as a medium of exchange. (5 marks) (5 marks, 2013 Q6b) A.MONEY CHARACTERISTICS: The four primary characteristics of money are: (1) durability, (2) divisibility, Read More …
Meaning of Protectionism Q7
Q. b) Explain with examples, the meaning of protectionism. (5 marks) (5 marks, 2013 Q7b) A. DEFINITION OF ‘PROTECTIONISM’ Government actions and policies that restrict or restrain international trade, often Read More …
Contractionary Fiscal Policy Q7
Q.a) Fiscal Policy refers to the regulation of the level of government spending, taxation and public debt. Explain: iii) Contractionary Fiscal Policy. (5 marks) (5 marks, 2013 Q7aiii) A. From Read More …
Expansionary monetary policy
Q.What is expansionary monetary policy? Is there a similarity to expansionary fiscal policy? A.Below is an article from AmosWEB under Encyclonomic Webpedia: EXPANSIONARY MONETARY POLICY: A form of monetary policy Read More …
Expansionary Fiscal Policy Q7
Q.a) Fiscal Policy refers to the regulation of the level of government spending, taxation and public debt. Explain: ii) Expansionary Fiscal Policy. (5 marks) (5 marks, 2013 Q7aii) A.DEFINITION OF Read More …
Impact of inflation Q8
Q.Explain the impact of the following due to the increase in rate of inflation:- i) Price level of goods and services. (4 marks) ii) Value of money. (4 marks) iii) Read More …
Objectives of Fiscal Policies Q7
Q. a) Fiscal Policy refers to the regulation of the level of government spending, taxation and public debt. Explain: i) Objectives of Fiscal Policy. (5 marks) ii) Expansionary Fiscal Policy. Read More …
Circular flow of income in two sector economy Q6
Q. a) The circular flow of income shows the economic interaction between the different sectors in the economy. It also involves the income received and income payments made by different Read More …
National Economy Q5
Q. a) Explain the following terms in the context of national economy:- i) Gross Domestic Product (GDP). (3 marks) ii) Primary sector. (3 marks) iii) Secondary sector. (3 marks) iv) Read More …
Market Structure characteristics Q4
Q. a) Explain the characteristics of the following market structure. Support your answer with examples. i) Perfect competition. (4 marks) ii) Oligopoly. (4 marks) b) Differentiate monopoly and monopolistic competition Read More …
Factors of production Q3
Q. Explain the following terms:- i) Elasticity of demand. (6 marks) ii) Equilibrium market price. (6 marks) iii) Factors of production. (8 marks) (20 marks, 2013 Q3) A. i) Elasticity Read More …
Opportunity Cost reference to Production Possibility Curve Q2
Q. a) Explain the statement “demand is a function of price”. (5 marks) b) Explain the concept of opportunity cost with reference to the production possibility curve. (15 marks) (20 Read More …