The increase in tax on state bank notes from 2 to 10 percent provided

The increase in tax on state bank notes from 2 to 10 percent provided state banks incentive to

(a) attract more demand deposits and increase the use of checks.
(b) increase the amount of state notes and use them to extend bank credit.
(c) increase the minting of coins and use them for exchange and lending purposes.
(d) all of the above.

ANSWER

(a)