SS2 Second Term Economics Past Questions And Answers
Here are 20 Senior Secondary School 2 Second Term Economics Questions with options and answers:
Question: What is the purpose of the World Bank?
A) Regulation of global trade
B) Promotion of human rights
C) Poverty reduction through financial assistance
D) Environmental protection
Answer: C) Poverty reduction through financial assistance
Question: Define the term “Foreign Exchange Market.”
A) Market for agricultural products
B) Market for buying and selling currencies
C) Market for government securities
D) Market for consumer goods
Answer: B) Market for buying and selling currencies
Question: What is the role of the Organization of Petroleum Exporting Countries (OPEC)?
A) Regulation of global financial markets
B) Promotion of agricultural development
C) Control of oil production and prices
D) Facilitation of international trade
Answer: C) Control of oil production and prices
Question: In macroeconomics, what does GDP per capita measure?
A) Total output of an economy
B) Average income per person
C) Inflation rate
D) Unemployment rate
Answer: B) Average income per person
Question: Which market structure is characterized by a small number of sellers and differentiated products?
A) Monopoly
B) Oligopoly
C) Perfect competition
D) Monopolistic competition
Answer: D) Monopolistic competition
Question: What is the function of the Central Statistical Office (CSO) in an economy?
A) Regulation of interest rates
B) Collection and analysis of economic data
C) Control of foreign exchange rates
D) Implementation of fiscal policies
Answer: B) Collection and analysis of economic data
Question: Define the term “Balance of Payments.”
A) Total government revenue
B) Record of all economic transactions between a country and the rest of the world
C) Total household income
D) National debt
Answer: B) Record of all economic transactions between a country and the rest of the world
Question: Which type of unemployment is caused by changes in the structure of an economy?
A) Frictional unemployment
B) Structural unemployment
C) Cyclical unemployment
D) Seasonal unemployment
Answer: B) Structural unemployment
Question: What is the significance of the Phillips Curve in macroeconomics?
A) Relationship between inflation and unemployment
B) Relationship between government spending and economic growth
C) Relationship between interest rates and investment
D) Relationship between taxes and consumer spending
Answer: A) Relationship between inflation and unemployment
Question: Which of the following is a tool of monetary policy used by central banks to control money supply?
A) Fiscal policy
B) Exchange rates
C) Open market operations
D) Balance of trade
Answer: C) Open market operations
Question: Define the term “Elasticity of Demand.”
A) Measure of consumer satisfaction
B) Measure of how responsive quantity demanded is to price changes
C) Measure of government revenue
D) Measure of production efficiency
Answer: B) Measure of how responsive quantity demanded is to price changes
Question: What is the purpose of a trade union?
A) Promotion of free trade
B) Protection of workers’ rights and interests
C) Regulation of stock markets
D) Facilitation of foreign direct investment
Answer: B) Protection of workers’ rights and interests
Question: Which economic system relies on supply and demand to determine prices and resource allocation?
A) Capitalism
B) Socialism
C) Communism
D) Mixed economy
Answer: A) Capitalism
Question: What is the role of the International Labour Organization (ILO)?
A) Regulation of interest rates
B) Promotion of global environmental sustainability
C) Protection of workers’ rights
D) Control of international trade barriers
Answer: C) Protection of workers’ rights
Question: Define the term “Budgetary Deficit.”
A) Excess of government expenditure over revenue
B) Excess of government revenue over expenditure
C) Equal government revenue and expenditure
D) Reduction in government debt
Answer: A) Excess of government expenditure over revenue
Question: What is the purpose of the Consumer Price Index (CPI)?
A) Measure of overall economic health
B) Measure of average change in prices of goods and services
C) Measure of government revenue
D) Measure of international trade balance
Answer: B) Measure of average change in prices of goods and services
Question: Which organization promotes global economic cooperation and development by providing financial assistance and policy advice?
A) United Nations (UN)
B) International Monetary Fund (IMF)
C) World Health Organization (WHO)
D) World Trade Organization (WTO)
Answer: B) International Monetary Fund (IMF)
Question: Define the term “Subsidy.”
A) Tax on imports and exports
B) Payment made by the government to support certain industries or activities
C) Quota on production levels
D) Currency exchange rate
Answer: B) Payment made by the government to support certain industries or activities
Question: What is the role of the World Health Organization (WHO)?
A) Regulation of international trade
B) Promotion of global economic stability
C) Facilitation of healthcare cooperation and standards
D) Control of global inflation
Answer: C) Facilitation of healthcare cooperation and standards
Question: Which economic indicator measures the total value of goods and services produced within a country’s borders in a specific time period?
A) Gross Domestic Product (GDP)
B) Consumer Price Index (CPI)
C) Unemployment rate
D) Balance of trade
Answer: A) Gross Domestic Product (GDP).
