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Progressive tax

area where considerable difficulties of measurement and evaluation exist.

Progressive tax. A tax which takes an increasing proportion of income as income rises.

Promissory note. A legal document between a lender and a borrower whereby the latter agrees to certain conditions for the repayment of the sum of money borrowed. When one borrows from a commercial bank, one signs a promissory note. Particular forms of promissory notes, known as commercial paper, can be bought and sold. They are usually issued by large corporations, especially when monetary policy is restrictive, making it difficult to obtain credit. For banks, they are part of the secondary reserves.

Propensity to consume average propensity to consume; marginal propensity to consume.

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