Economics 2018 Jamb Examination

Economics studies how societies allocate scarce resources among competing uses.
Human wants are unlimited, but the resources available to satisfy them are limited. This fundamental imbalance creates the need for choice and prioritisation, which is the basis of economic analysis.
Scarcity therefore explains why individuals, firms, and governments must make decisions about production, distribution, and consumption.

The ratio of export price index to import price index multiplied by 100 shows how many units of imports a country can obtain per unit of exports.
This measure reflects the purchasing power of a country's exports in relation to its imports and is known as the commodity terms of trade. A rise indicates an improvement, while a fall indicates deterioration.

To obtain the mean of grouped data, multiply each value by its frequency and divide the total of these products by the total frequency.\[ \text{Mean} = \dfrac{\sum (X \times F)}{\sum F} \](8 x 2) + (10 x 1) + (12 x 4) + (16 x 3) + (18 x 3) + (20 x 1) + (24 x 6) = 272
Total frequency: 2 + 1+ 4 + 3 + 3 + 1 + 6 = 20\[ \text{Mean} = \dfrac{272}{20} = 17.0 \]The average value is therefore 17.

The term describes individuals of working age who are both able and willing to work. This group forms the labour force available for productive activities within the economy.
It excludes those who are not seeking work or are not qualified due to age or health. Hence, it refers to the working population.

Agriculture makes 80^o 
Health makes 60^o
Health : Agriculture = 60 : 80 = 3 : 4

Invisible items are non-tangible goods and services traded internationally. They do not involve physical commodities crossing borders.
Banking services fall under this category because they are intangible financial services provided across countries. Processed goods such as rice or milk are visible items because they are physical products.

Population density is calculated by dividing the total population by the land area.\[ \text{Population Density} = \dfrac{100\,000\,000}{50} = 2\,000\,000 \]This equals 2 million people per square kilometre, which indicates a very densely populated settlement.

People in rural areas migrate to urban centres seeking employment, better income, and improved living conditions.
When industries are established in rural areas, they provide job opportunities locally, reducing the incentive to migrate to cities. This helps to curb rural-urban migration significantly.

Government adjusts its spending and revenue patterns to influence the economy. This includes taxation, public expenditure, borrowing, and subsidies.
These instruments collectively constitute fiscal policy, which is used to stabilise the economy, regulate growth, and manage inflation.

An employer’s association is formed by employers who work together to develop unified positions during negotiations with workers’ unions.
By coordinating their policies, they strengthen their bargaining power and present consistent terms in labour discussions.