If you are a candidate seeking Economics NECO Questions and Answers for 2023, you have arrived at the right place as we will break them down for you. We will go further to show you how Economics NECO Questions are set and the best way to answer for full marks.

Economics NECO Questions and Answers 

The National Examinations Council is an examination body in Nigeria that conducts the Senior Secondary Certificate Examination and the General Certificate in Education in June/July and December/January, respectively.

Economics NECO Questions and Answers

Economics Paper III: Paper 3 will last for 1 hour. Attempt all questions from this section. Answer Paper 3 on your objective test answer sheet,

Note: Use HB pencil throughout.

NECO Objective Test Questions in Economics.

1. The definition of Economics as an inquiry into the nature and causes of the wealth of nations’ was given by

A. Adam Smith.

B. Alfred Marshall.

C. Irving Fisher.

D John Keynes.

E.Lionel Robbins.


2. The economics concept that emphasizes the prioritization of human wants is referred to as

A. choice.

B. need.

C. opportunity cost.

D. scale of preference.


Use the information below to answer the questions that follow”

Given the tonnes of cocoa produced in Idanre in 5 years as follows

3. Determine the total tonnes of cocoa produced from 2001 to 2004.

A. 60

B. 80

C. 150

D. 180

E. 220


4. Which of the following is not a feature of a good table?

A. Clearly labeled axis

B. Clear layout

C. Easy to comprehend

D. Explanatory footnote

E. Well titled


5. The basic economic problems of the society include the following except

A. efficient production.

B. efficient use of resources.

C. For whom to produce.

D. how to produce.

E. what to produce.

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6. A form of production that deals with general services are production.

A. direct

B. Industrial

C. primary

D. secondary

E. tertiary


7. The reward for capital as a factor of production is

A. commission.

B. interest

C. profit.

D. rent.

E. wage.


8. Which of the following is not a form of business organization?

A. Cooperative society

B. Industry

C. Joint-stock company

D. Partnership

E. Sole proprietorship


9. The document that provides the rules and regulations that govern the internal working of an organization is referred to as

A. article of association.

8. certificate of incorporation.

C .deed of partnership.

D. memorandum of association.

E. memorandum of understanding.


10. The difference between birth and death rate is

A. fertility rate.

B. infant mortality.

C. natural growth rate.

D. optimum population.

E. population density.


11. The third stage of the Demographic Transition Theory is characterized by

A. high death rate.

B. high death rate and high birth rate.

C. low birth rate and high death rate.

D. low death rate and low birth rate.

E. overpopulation.


12. If a bank cashier rises to the rank of a bank manager, this is called___mobility of labor.

A. geographical

B. horizontal

C. occupational

D. technological

E. vertical


13. The objective of specialization is to

A. efficiently allocate resources.

B. Increase the price of commodities.

C. Increase productive capacity.

D. Increase the use of labor.

E. reduce workers’ skills.


14. Which of the following is the correct chain of distribution?

A. Manufacturer —> Consumer —> Wholesaler —> Retailer

B. Manufacturer —> Retailer —> Wholesaler —> Consumer

C. Manufacturer —> Wholesaler —> Retailer —> Consumer

D. Retailer —> Wholesaler —> Manufacturer —> Consumer

E. Wholesaler -> Retailer —> Manufacturer —> Consumer

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15. Effective distribution of goods and services can be hindered by

A. adequate market information.

B. availability of credit facilities.

C. efficient storage facilities.

D .good road network.

E. too many middlemen.


16. Which of the following is not an example of commodity money?

A. Beads

B. Coins

C. Cowry shells

D. Elephant tusk

E. Slaves


17. The Central Bank of Nigeria’s policy of producing polymer against the paper notes is anchored on what characteristic of money?

A. Acceptability

B. Divisibility

C. Durability

D. Homogeneity

E. Portability


18. A system of agriculture where a number of individual farmers pool their resources in order to produce a large quantity of products in farming.

A. commercial

B. cooperative

C. livestock

D. mechanized

E. plantation


19. If the weekly revenues accrued to a firm are: N2,500, Nl,500, N1,000, N2,000, N17,000, N2,600, and Nl,200. Determine the range of the firm’s weekly transactions.

A. N10,000

B. N12,200

C. N14,000

D. N16,000

E. N18,000


20. If the mean of die following numbers 1, x, 4, and 5 is 3, find x.

A. 1

B. 2

C. 3

D. 4

E. 5

Economics NECO Essay Questions

Paper II will last for 1 hour. Answer any two questions from this section,

1. (a) Define the Price System. (4 marks)

(b) Discuss four features of the Price System. (16marks)

2. Explain five roles played by Agriculture in the Economic development of Nigeria. (20 marks)

3. State and explain five problems militating against industrialization in Nigeria. (20 marks)

4. (a) Differentiate between Inflation and Deflation. (5 marks)

(b) Briefly discuss three monetary and two fiscal policies for controlling inflation. (15 marks)

DISCLAIMER! These are not real Economics NECO Questions and Answers but likely repeated questions over the years to help candidates understand the nature of their examinations. Ensure to take note of every question provided on this page.

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