SECTION* (32 marks)
Answer All the questions in this section.
1. List four types of price elasticity of demand. (4 marks)
2. State four factors that may be considered when determining the price of a product (4 marks)
3. List two injections to the circular flow of national income. (2 marks)
4. Outline three circumstances under which it may be necessary to locate a firm near the source of raw materials. (3 marks)
5. State three features of a perfectly competitive market structure. (3 marks)
6 List three money transfer services that arc offered by commercial banks to customers, (3 marks)
7 Slate four reasons that make it necessary fur the government to impase taxes on its citizens. (4 marks)
8. State the two branches of ccorwmtcs. (2 marks)
4. List three levels affect mic integration. (3 marks;
it. Stale four types at’ unemployment that may be experienced by citizens of a country. (4 marks)
SECTION B (68 marks)
Answer any FOUR questions from this section
12. (a) Explain four factors that may influence the efficiency of labour as a factor of production. (8 marks)
(b) Kazo Limited has expanded its scale of production over the past few years. Explain six benefits that the firm may derive from this expansion. (9 marks)
13, (a) Outline four difficulties that may be faced when measuring the national income of a country. (8 marks)
( b) Highlight six qualities of a good national budget (9 marks)
14. (a) Explain six monetary measures that may be taken by the Central Bank to reduce (lie level of inflation in a country. (9 marks)
(b) A country with a high papulation growth rate may face certain challenges. Highlight four such challenges. (8 marks)
J’15. (a) Explain six ways in which a country may benefit farm participating in international trade. (9 marks)
