WAEC 2022 Economics Essay & OBJ Answers (7th June 2022)
Tuesday 7th June, 2022
Economics 2 (Essay) – 9:30am – 11:30am
Economics 1 (Objective) – 11:30 am – 12:30pm
2022 WAEC ECONOMICS OBJECTIVES (OBJ) ANSWERS:
2022 WAEC ECONOMICS ESSAY OR THEORY ANSWERS:
(i) Labour force: Labour force can be defined as the total number of persons available to supply the labour for the production of economic goods and services. In other words, it is the total number of people of working age in a country who are able and willing by law to work.
(ii) Efficiency of labour: Efficiency of labour may be defined as the ability of labour to increase output without increasing the quantity of labour. Increase in efficiency is usually expressed in terms of increase in output of labour within a shorter period of time without any fall in the quality of goods and services produced.
(PICK ANY FIVE)
(i) Age structure of the population: The structure of a country’s population is a significant determinant of the size of the labour force. The lower the dependant people, the higher the supply of labour and vice versa. In otherword, the labour force will increase in a country with a greater number of its people between the ages of 18 and 65 years.
(ii) Role of women in the society: In some societies, women are usually prevented from engaging in gainful employment because of religious belief, social and cultural factors and this affects the size of labour force.
(iii) Number of working hours and working days: The number of working hours per day and the number of working days in a week or a year also helps to determine the supply of labour.
(iv) The number of disabled: When the number of disabled persons is high especially within the working population, the supply for labour will be low.
(v) The number of people unwilling to work: There are certain number of able bodied people who are also between the age bracket of 18 and 65 years but are unwilling to work. If their population is high, it will affect the size of supply of labour
(vi) Migration: The rate of migration can also affect the size of labour force. If the rate at which the working population leaves a country is higher than the rate at which people come in, it will lead to reduction in the supply of labour.
(vii) Trade union activities: The activities of trade union may also affect the supply of supply. For example, when a long period of training is imposed on a certain trade, this may discourage people from engaging in such trade or profession leading to a reduction in supply of labour.
(viii) Government policies: Certain government policies can affect the supply of labour. E.g. specific laws are made to exclude children and women from working in ministries. This can reduce the supply of labour to that area or field.
(i) A Merchant Bank is that Mortgage is a bank or company which offers a loan with their own funds or from warehouse lenders WHILE A merchant bank is an institution which provides the services of finance, underwriting, offering business loan and advice or consultancy on finance.
(ii) Commercial Bank is the bank organized to perform public utility banking services, such as accepting deposits, lending money, etc. On the other hand, development bank refers to a multi-purpose financial undertaking set up to provide financial aid to the industrial and agricultural sector, to encourage development.
(i) Agency functions: commercial banks are already agents of the banking system, but they can also be personal agents to their customers. An agent is an individual or institution that carries out activities, in this case, financial operations, on behalf of the principal (who is the customer) for a few known as a commission.
(ii) Credit Creation: commercial banks are perhaps the only financial institutions with this unique function. Commercial banks create credit through accepting deposits and providing loans, pushing money into the economy.
(iii) Transfer of funds: the transfer of funds from a customer’s account to another account is another vital function of banks. Fund transfer is a valid means of paying for transactions, as well as other financial activities. Transfer of funds can be carried out through several ways such as drafts, standing orders, cheques, USSD platforms, and electronic banking.
(iv) Provision of loans: besides accepting deposits, another function of commercial banks is the provision of loans. The provision of funds to those who require them for transactions is a vital role commercial banks play. Nowadays, customers can now have access to instant loans from commercial banks.
Economic integration is a form of economic cooperation among countries with the aim of achieving higher economic growth and development. This economic cooperation includes the reduction or elimination of trade barriers and the coordination of monetary and fiscal policies.
(PICK ANY THREE)
(i) Language barrier: Member states are polarized into English, French and Portuguese languages. This is seen as a barrier to the unity of the peoples of the sub-region;
(ii) Fear of domination : Some of the smaller nations have great fear that big nations in the Community might dominate them. Hence, there is mutual suspicion among them.
(iii) Influence of foreign powers and ex-colonial masters: Member states depend on them economically.
(iv) Political Instability in member states: This results in different approach to ECOWAS issues by leaders of member states.
(v) Inadequate finance: Many members states do not fulfill their financial obligation as at and when due. This is crippling the effective operation
(PICK ANY THREE)
(i) Road construction between big cities: The highways Lagos-Abidjan, Nouakchott-Lagos have made commuting much easier that it was before. The road network Elubo – Alflao – Lagos is one of the achievements.
(ii) Relationship establishment between Anglophone and Francophone: The relations between the Anglophone and Francophone have been stabilized. It has been done through the ECOWAS passport. It has significantly eased the movement of people within those areas.
(iii) Provision of Telephone network for the member states: Nowadays, interconnection is available for all countries of the African Union.
(iv) No strict borders for nations and trades: ECOWAS has enabled West Africans to easily move among the West African countries. Also, the trade barrier has been removed. People, goods and services travel around the countries with ease.
(v) Peace and security throughout the sub-region: The state of peace is kept by ECOWAS Monitoring Groups. The zones of conflicts are not so troublesome compared to what it used to be.