If income increases by $100 and saving increases by $25, the slope of the consumption function equals _____
a. 1/4
b. 1/5
c. 1/2
d. 3/4
e. 3/5
d
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Quick Buck and Pushy Sales produce and sell identical products and face zero marginal and average cost. Below is the market demand curve for their product. 
Suppose Quick Buck and Pushy Sales decide to collude and work together as a monopolist with each firm producing half the quantity demanded by the market at the monopoly price. If Quick Buck cheats by reducing its price to $1 while Pushy Sales continues to comply with the collusive agreement, then Quick Buck will sell ________ units and Pushy Sales will sell ________ units.
A. 3,000; 0 B. 3,000; 1,000 C. 2,000; 1,000 D. 0; 3,000
Suppose the price of capital and labor remain constant. As a firm's expenditures for capital and labor increase, its isocost line
A) rotates outward on the Y-intercept. B) shifts in parallel to the original isocost line. C) rotates outward on the X-intercept. D) shifts out parallel to the original isocost line.
Which of the following is an example of a Federal Reserve operating target?
A) Federal funds rate B) Unemployment rate C) Non-financial debt D) M2
The aggregate demand curve is downward sloping because of the
A. real balance effect. B. interest rate effect. C. foreign purchases effect. D. all of the options are correct.