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Discuss the Special Challenges Faced by State and Local Governments

question 39

Essay

Discuss the special challenges faced by state and local governments as a result of the economic downturn in 2008,and ways governments can and did respond to these challenges.


Definitions:

Paid-In Capital

The amount of money that a company receives from shareholders in exchange for shares of stock, exceeding the par value of the shares.

Drawings

Withdrawal of cash or other assets from an unincorporated business for the personal use of the owner(s).

Authorized Shares

The maximum number of shares that a corporation is legally allowed to issue, as specified in its articles of incorporation.

Market Value

The existing cost for buying or selling an asset or service on the market.

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