1. (a) There are certain functions that commercial banks perform for business enterprises. Outline these functions. (10 Marks)
(b) One of the possible structure that a market can assume is the perfect competition. Describe the feature of this market structure. (10 Marks)
2. (a) With the aid of the diagram, describe the effect of a shift in the demand curve of a commodity on its equilibrium price. (10 Marks)
(b) Many developing countries experience high level of unemployment. Explain the causes of such levels of unemployment. (10 Marks)
3. (a) Explain the different types of elasticity of supply. (10 Marks)
(b) There are certain limitations associated with the use of national income figures for making comparisons on the economic performance of different countries. Highlight these limitations. (10 Marks)
4. (a) There are certain factors that may determine the consumption function in a country.Explain these factors. (10 Marks)
(b) Country Z has been experiencing a persistent balance of payment deficits. Explain the measures that the country could take to alleviate the problem. (10 Marks)
5. (a) Land as a factor of production possesses certain characteristics. Outline these characteristics. (10 Marks)
(b) There are economic goals that most developing countries seek to attain. Highlight these goals. (10 Marks)
6. (a) There are certain principles that a tax system in a country should uphold. Explain these principles. (10 Marks)
(b) Explain the factors that may determine the prices of agricultural products in a country. (10 Marks)
7. (a) There are certain conditions that make it ideal for countries in a region to engage in economic integration. Explain these conditions. (10 Marks)
(b) Country Y has been experiencing rising levels of inflation in the recent past. Explain consequences of such inflation. (10 Marks)
