One Long-Term Factor Which Has Led to the Recent Destruction

question 134

Multiple Choice

One long-term factor which has led to the recent destruction of state budget surpluses relates to

• A) gubernatorial salaries.
• B) public utility fraud.
• C) the pension benefits of public employees.
• D) highway maintenance.
• E) declining tourism.

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Definitions:

National Debt

The total outstanding borrowing of a government, consisting of internal and external loans, accumulated over years of budget deficits.

Excise Taxes

Taxes imposed on specific goods or services, such as tobacco, alcohol, and gasoline, usually intended to discourage their use or generate revenue.

Federal Tax Revenue

The income collected by the federal government from taxes, including income taxes, payroll taxes, and corporate taxes, used to fund public services and obligations.

Tax Rates

The rate at which a person or business is required to pay taxes to the authorities.