NECO 2007 Economics · Question 7
Which of the following goods are NOT examples of joint supply?
Options
- A.Beef and hides
- B.fuel and kerosene
- C.Palm oil and kernel
- D.Tea and coffee
- E.Wool and Mutton
Answer: D. Tea and coffee
Explanation written with AI and checked against the answer key
Analyze the question: We need the pair that is NOT joint supply.
Concept: Goods in joint supply are produced together from the same raw material or production process. Increasing the supply of one automatically increases the supply of the other.
Check each option:
- A. Beef and hides: Both come from cattle, so this is joint supply.
- B. Fuel and kerosene: Both are refined from crude oil (petroleum), so this is joint supply.
- C. Palm oil and kernel: Both come from the oil palm fruit, so this is joint supply.
- D. Tea and coffee: These come from different plants, are grown separately, and are substitutes in consumption. They are not produced together, so this is not joint supply.
- E. Wool and mutton: Both come from sheep, so this is joint supply.
Tip: For joint supply, ask, "Do both products come from the same source?" Examples to remember are cattle (beef and hides), sheep (wool and mutton), crude oil (petrol and kerosene), and oil palm (palm oil and kernel). If two goods come from different sources and compete with each other, they are substitutes (competitive supply), not joint supply.
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