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JAMB Economics 2008 Objective — Question 21

Question 21 of 50 from the Joint Admissions and Matriculation Board (JAMB) Economics 2008 Objective paper, with the correct answer and a full explanation.

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The use of modern weaving machines in the production of local fabric will result in

  • A. an increase in the demand for labour
  • B. a decrease in the demand for labourCorrect
  • C. an increase in wages
  • D. a decrease in wages

Explanation

Weaving machine is a substitute that requires the normal method of labour. Increase in the use of modern machine will displace some workers.

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