One important category of state and local tax spending is ______.

What effect does an increase in the interest rate have on the opportunity cost of holding money and on the demand for money curve?

What will be an ideal response?

An example of moral hazard is

a. A taxi driver paid per mile taking a longer route than necessary b. a piece-rate garment worker shirking more than a per jour worker c. an hourly salesman working harder than a commission salesman d. an author on contract going to as many book signings as one with a percentage royalty rate