Economics Practice Test – Theory of Demand

One of the factors affecting change in demand for a commodity is the _______ (JAMB 2016)

A. supply of the commodity
B. availability of substitute
C. price of the commodity
D. technical know-how

If Mr. T changes the monthly quantity of garri he usually consumes from 5kg to 8kg as a result of increase in income, this is an example of ______ (JAMB 2015)

A. an increase in demand
B. an increase in the quantity demanded
C. an increase in per capita income
D. a decrease in demand

A change in demand for a normal good implies that there is a ______ (JAMB 2014)

A. change in the price elasticity of demand
B. change in the quantity demanded as price changes
C. shift in the demand curve
D. movement along given demand curve.

The major determination of cross elasticity of demand is the ______ (JAMB 2007)

A. closeness of the substitutes
B. price of the good
C. degree of necessity of the good.
D. level of income of consumers

Demand patterns are determined by the market on the basis of _____ (JAMB 2011)

A. consumer sovereignty
B. consumer rationality
C. price of the commodity
D. scale of preference.