Which of the following goods is most likely to be over consumed? Fish in:

A new tax introduced by the government will: a. decrease disposable income

b. increase disposable income. c. lead to a reduction in government spending. d. lead to an increase in government spending. e. have no effect on disposable income.

Under a fractional-reserve banking system, banks

a. hold more reserves than deposits. b. generally lend out a majority of the funds deposited. c. cause the money supply to fall by lending out reserves. d. All of the above are correct.