In the consumption function; C = 1300 + 0.75Y, marginal propensity to consume is:

• A) 1300
• B) 1300.75
• C) 0.75
• D) 1299.25

In the total cost function; TC = 500 + 35Q, 500 is the:

• A) Opportunity cost
• B) Fixed cost
• C) Variable cost
• D) Sunk cost

A fraction of the bank deposits is:

• A) Interest rate
• B) Money supply
• C) Bank reserves
• D) Cash holdings

Formula to calculate average cost is:

• A) Marginal cost / Output (Q)
• B) Total cost / Output (Q)
• C) Marginal cost × Output (Q)
• D) Total cost × Output (Q)

$$\begin{gathered} y = f(g(x)) \hfill \ \frac{{dy}} {{dx}} = \frac{d} {{dx}}\{ f(g(x))\} = f'(g(x)).g'(x) \hfill \\\ \end{gathered}$$ Given the above expression; $$g(x)$$ represents:

• A) Derivative of inside function
• B) Inside function
• C) Outside function
• D) Derivative of outside function

Given the saving function $$S = 0.20Y + 3i$$; $$S_i = \frac{{\partial S}} {{\partial i}}$$ is:

• A) 3/0.20
• B) 3.20
• C) 0.20
• D) 3

Money supply and cash deposit ratio are:

• A) Not related
• B) Negatively related
• C) Directly related
• D) Positively related

Cost of unskilled labor is an example of:

• A) Sunk cost
• B) Fixed cost
• C) Opportunity cost
• D) Variable cost

Which of the following is necessary for minimum level of profit?

• A) Second order derivative of the profit function should be greater than zero
• B) First order derivative of the profit function should be less than zero
• C) First order derivative of the profit function should be greater than zero
• D) Second order derivative of the profit function should be less than zero

$$\frac{{\partial F(Q,\overline K ,L)}} {{\partial L}}$$ shows:

• A) Marginal product of labor
• B) Marginal product of capital
• C) Output elasticity of labor
• D) Output elasticity of capital

Given the saving function $$S = 0.35Y + i$$ ; $$S_Y = \frac{{\partial S}} {{\partial Y}}$$ is?

• A) 1
• B) 1/0.35
• C) 1.35
• D) 0.35

Which of the following expression shows inverse demand function?

• A) $$P = f + D$$
• B) $$P = f^{ - 1} (D)$$
• C) $$D = f(P)$$
• D) $$D^{ - 1} = f(P + 1)$$

Second order derivative of the profit function should be greater than zero

• A) Marginal revenue = 0
• B) Marginal revenue > Marginal cost
• C) Marginal revenue < Marginal cost
• D) Marginal revenue = Marginal cost

$$\left( {\frac{{\partial y}} {{\partial x}}} \right)$$ is used to denote:

• A) Partial derivative
• B) Simple derivative
• C) Matrix
• D) Limit

$$F(Q,K,L) = 0$$ shows:

• A) Quadratic function
• B) Implicit function
• C) Cubic function
• D) Cost function

Which of the following shows the indirect effect of the function $$y = f(g(w),w)$$ ?

• A) $$x = g(w)$$
• B) $$y = f(g(w))$$
• C) $$y = f(x,w)$$
• D) $$y = f(w)$$

Which of the following is used to find out the Marshallian demand functions?

• A) Hotelling’s Lemma
• B) Cobweb theorem
• C) Roy’s identity
• D) Shephard Lemma

Which of the following shows the differential of $$y = f(x) = Ax^2$$ ?

• A) $$dy = (\frac{{Ax}} {2}).dx$$
• B) $$dx = (2Ax).dy$$
• C) $$dy = (2Ax).dx$$
• D) $$dy = (2 + Ax).dx$$

\left( {\frac{{\partial y}} {{\partial x}}} \right) is used to denote:

• A) Matrix
• B) Limit
• C) Simple derivative
• D) Partial derivative

\pi = PQ - wK is the profit function of the labor market; what does K show in this function?

• A) Quantity of capital input
• B) Quantity of output
• C) Price of output
• D) Price of capital input