Verified Econs obj
1-10: dbacabadcc
11-20: aabbaaabab
21-30: cadccdadcc
31-40: cccbdaccaa
41-50: abdbbbbcdb 1)
a) Direct taxes = 100 120 = 220
Indirect taxes = 80 100 150 90 = 420
b) Recurrent expenditure = 150 200 220 180 70
= 820
c) Total revenue = 860
Indirect tax = 460
% indirect tax = 460/860 x 100 = 53.49%
d) Total revenue = 860
Total expenditure = 1040
Budget deflecit = 180
Budget deflicit because expenditure is higher
than the revenue collected
(2a)
R=19-10=9
6=p-19
P=6 19=25
S=31-30=1
Q-31=0
Q=31
therefore,
P=25,
Q=31,
R=9,
S=1
(2c)
draw diagram
(2d)
law of diminishing marginal utility states that as
more and more unit of a commodity is
consumed, there is a tendency for marginal
utility ti decrease as total utility increases
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4a)
i)Peasant Farming is the cultivation of crops and
rearing of animals on a small scale.
ii)Cooperative farming : it is defined as a system
in which individual farmers pool their resources
(excluding land) to buy commodities such as
seeds and fertilizers, and services such as
marketing.
4b)
- Provision of avail credit
-Provision of some sort of mechanisition
- Provision of agricultural knowledge through
extension etc
-provision of good roads for transportation
- provision of fertilizers to enhance productivity
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5a)
Elasticity of supply is the degree of
responsiveness of the supply to little change in
the price of commodity.
5b)
i)In Joint supply two or more commodities are
produced and supplied from one or more
sources, while in competitive supply two or more
commodities are supplied to serve as substitute.
ii)In joint supply and increase in the production
and supply of one commodities will bring about
an increase in the production and supply of the
commodity, whereas in competitive supply a
commodity is supplied for d satisfaction of a
particular want
5c)
i)Cost of production: the cost of production
normally leads to elasticity
ii)Nature of commodity: perishable goods are
elastic in supply due to their nature
iii)Cost of storage: producers will supply all their
commodities to the market if the cost of storage
is high thereby leading to elasticity
iv)Market forces: this determines whether supply
will increase or not
================================
6)
BUILDING SOCIETY
These institutions are now major competitors of
banks in the U.K. and
are the equivalent of U.S. savings and loan
institutions. Building
societies can also be found in other countries,
such as Australia,
Ireland and Jamaica.
ii)CENTRAL BANK
A central bank is an entity responsible for
overseeing the
monetary system for a nation (or group of
nations).
Central banks have a wide range of
responsibilities, from
overseeing monetary policy to implementing
specific goals such as
currency stability, low inflation and full
employment.
========================================
8a)
Gross domestic product measures the value of
total production attributable to all factors of
production that are located in the territory of a
given country
8b)
Gross National product -- When necessary
adjustment for the surplus of a nation on its
current account with the rest of the world has
been made, the resulting figure is called the
Gross national product (GNP)
8c)
Cost of living is the aggregate amount of
money which a person spends to provide himself
the needs usually over a period of one year.
8d)
Per Capita Income is obtained by dividing the
total national income by the total population.
8e)
Standard of living --- When Per Capita Income
is calculated, what u get determines whether the
standard of living is high or low. The higher the
quotient, the higher the standard of living, all
things being equal.
