PassSpark

NECO SSCE Economics 2005 past questions and answers

This 2005 NECO SSCE Economics set has 40 practice questions. Try these 5 free sample questions, tap a question to reveal the answer and explanation. Then practise the whole 2005 set with instant marking.

Practise the full 2005 setTimed exam mode

Sample NECO SSCE Economics 2005 questions

1. A furniture workshop assigns each worker one specialised task instead of having every worker make a complete chair. The most direct likely benefit is
  1. a fall in the total number of chairs produced
  2. the elimination of all fixed costs
  3. greater worker proficiency and output per unit of time
  4. an automatic increase in the price of each chair

Answer: C. greater worker proficiency and output per unit of time

Specialisation allows workers to become more proficient at their assigned tasks and can raise productivity.

2. A firm doubles every factor of production, but its output rises by only 50 percent. This is an example of
  1. increasing returns to scale
  2. constant returns to scale
  3. diminishing marginal utility
  4. decreasing returns to scale

Answer: D. decreasing returns to scale

Output has risen by less than the proportional increase in all inputs, so the firm experiences decreasing returns to scale.

3. A bakery pays the same monthly rent whether it produces 100 or 500 loaves. The rent is best classified as
  1. a fixed cost
  2. a marginal cost
  3. a variable cost
  4. an opportunity cost of labour

Answer: A. a fixed cost

Rent that does not vary with the bakery's output over the period is a fixed cost.

4. A firm produces 40 units at a total cost of ₦2,000. Its average cost per unit is
  1. ₦20
  2. ₦50
  3. ₦80
  4. ₦1,960

Answer: B. ₦50

Average cost is total cost divided by output, so ₦2,000 ÷ 40 = ₦50 per unit.

5. A farm's output rises from 60 bags to 75 bags when it employs one additional worker. The marginal product of that worker is
  1. 5 bags
  2. 10 bags
  3. 15 bags
  4. 75 bags

Answer: C. 15 bags

Marginal product is the change in output caused by the additional worker, which is 75 − 60 = 15 bags.

More NECO SSCE Economics years

20262025202420232022202120202019201820172016201520142013201220112010200920082007200620042003200220012000

All NECO SSCE Economics years · NECO SSCE subjects

PassSpark questions are original practice questions written to each exam's syllabus and format, in the style of past questions. They are not official past papers and are not affiliated with JAMB, WAEC, NECO, any university or any exam body.