Governments May Create Special Revenue Funds Whenever a Tax or Other

question 79

True/False

Governments may create special revenue funds whenever a tax or other revenue source is legislated to be used for a specific purpose, other than capital assets or debt service.

---

Definitions:

Rate of Inflation

The percentage increase in the price level of goods and services in an economy over a period of time.

Misery Index

An economic indicator created by adding the unemployment rate to the inflation rate, meant to represent the average citizen's economic well-being.

Unemployment Rate

The segment of the labor force that is currently jobless and engaging in job-seeking activities.

Deflation

A decrease in the general price level of goods and services, often indicating a contraction in the amount of money and credit in the economy.