NECO 2004 Economics · Question 31

The following are the main problems of distribution of essential commodities in Nigeria EXCEPT

Options

  1. A.excessive demand
  2. B.hoarding of goods
  3. C.long chain of distribution
  4. D.poor storage facilities
  5. E.poor transportation network

Answer: A. excessive demand

Explanation written with AI and checked against the answer key

Analyze the question: We are asked for the option that is NOT a problem of distribution of essential commodities in Nigeria. Distribution problems are about how goods move from producers to consumers.

Concept: Distribution is the process of moving goods from producers to final consumers through channels such as wholesalers and retailers. Problems that disrupt this process include:

  • Hoarding of goods: Traders hold back stock to create artificial scarcity and raise prices, which disrupts supply to consumers.
  • Long chain of distribution: Many middlemen each add their own profit margin, which raises prices and causes delays.
  • Poor storage facilities: Goods, especially perishables, spoil before they reach consumers.
  • Poor transportation network: Bad roads and inadequate transport delay or prevent delivery of goods.

Excessive demand: This is a market condition on the demand side. It describes how many people want to buy a good. It is not a problem of moving goods through the distribution channel. It can result from scarcity caused by distribution problems, but it is not itself a distribution problem.

Step by step:

  1. Check B: hoarding obstructs distribution, so it is a distribution problem.
  2. Check C: a long chain raises costs and causes delays, so it is a distribution problem.
  3. Check D: poor storage causes spoilage and losses, so it is a distribution problem.
  4. Check E: poor transport hinders delivery, so it is a distribution problem.
  5. Check A: excessive demand is a demand-side issue, not a distribution problem.

So the odd one out is A. excessive demand.

Tip: In "EXCEPT" questions, first sort the options into two groups: those that fit the topic (here, the movement and handling of goods: storage, transport, middlemen, hoarding) and the one that does not. Words like storage, transport, middlemen signal distribution problems, while demand belongs to a different area.

AI can make mistakes. Report anything that looks wrong.

Past questions © the examination body (JAMB/WAEC/NECO). DeeepSolve is not affiliated with them. Rights holders: see /copyright.