​What Is Devolution

question 32

Multiple Choice

​What is devolution?

• A) A process that decentralizes government services from the federal government to state and local governments
• B) A process of transferring government assets or services to the private sector
• C) A process of transferring local government responsibilities to the federal government
• D) A process where states function as laboratories of democracy and set federal standards

---

Definitions:

Insurance and Taxes

Refers to the costs associated with insuring assets and property as well as the taxes imposed on income, property, and sales.

Restocking Costs

The expenses associated with replenishing inventory or stock.

Obsolescence

The process of becoming outdated or no longer used, often due to technological advancements.

Safety Stock

Additional inventory held by a company to prevent stockouts, typically used as a buffer against variability in demand or supply.