State and local governments rely on ________ as their primary source of tax receipts

Jeremy is thinking of starting up a small business selling NASCAR memorabilia. He is considering setting up his business as a sole proprietorship. What is one disadvantage to Jeremy of setting up his business as a sole proprietorship?

A) As a sole proprietor, Jeremy would face unlimited liability. B) As a sole proprietor, Jeremy would be subject to significant rules and regulations. C) As a sole proprietor, Jeremy would be taxed twice. D) As a sole proprietor, Jeremy would not have control of the business.

Refer to the given market-for-money diagrams. If each dollar held for transactions is spent four times per year on the average, we can infer that the:

A.  real GDP is $800.
B.  nominal GDP is $800.
C.  money supply must be $800.
D.  nominal GDP is $1,200.