Deposits that banks keep on hand rather than lend out or invest are known as:
a. reserves

Assume you pay a tax of $4,000 on a taxable income of $24,000. If your taxable income were $30,000, your tax payment would be $5,000. This suggests that the tax is:

A. progressive. B. proportional. C. regressive. D. discriminatory.

Why does the quantity demanded decrease when the price of a good increases?

A. People choose to reduce consumption of the item. B. People “drop out” of the market for the item. C. People find substitutes for the item. D. All of these responses are correct.