1. With an appropriate illustration, explain the circumstance in which an increase in output of a producer would

(a) decrease his sales revenue.

(b) increase his sales revenue .

2.

(a) Define increase in supply.

(b) With the aid of diagrams, explain the effect of an increase in the supply of fish on the price of beef .

3.

(a) What is the equilibrium of a consumer?

(b) Explain how a consumer attains equilibrium in spending his income.

4. (a) Explain with examples the following types of production (i) Primary (ii) Secondary (iii) Tertiary

(b) Give two reasons why primary production pre-dominates in developing countries .

5.

(a) What is a partnership?.

(b) State any two advantages and any two disadvantages of a partnership .

6.

(a) What is privatization?

(b) Give four reasons for government participation in economic activities in your country.

7.

(a) Distinguish between location of industries and localization of industries.

(b) Describe any three advantages and any two disadvantages of locating industries in rural areas

8

(a) Explain the function of money as a (i) measure of value (ii) store of value.

(b)Show how inflation affects these two functions of money

9.(a) What is a commercial bank?

(b) Describe