Balance Of Trade And Balance Of Payments Jamb Economics Past Questions
Question 1
Which of the following is an example of an invisible item on the balance of payments account
- A. shipping and aviation
- B. exports and imports
- C. merchandise
- D. Bullion
Question 2
Surplus in balance of payments leads to ________
- A. Government budget surplus
- B. Increase in foreign reserves
- C. Decrease in foreign reserves
- D. None of the above
Question 3
When a nation's exports are greater than its imports,_________
- A. The net foreign trade is zero
- B. A favourable balance of trade exists
- C. A favourable balance of payment exists
- D. An unfavourable balance of trade exists
Question 4
The formula (index of export prices)/(index of import prices) x 100 is used to measure the____________
- A. Volume of trade between countries
- B. direction of international trade
- C. commodity terms of trade
- D. volume of imports
Question 5
Which of the following is an invisible item?
- A. Petroleum services
- B. Processed rice
- C. Processed milk
- D. Banking services
