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Fiscal Policy: Taxes

Question 2 • * HSA 26-27 Economics

tax is one of the most important revenue sources for state governments.

Answer
A
Excise
B
Property
C
General sales
D
Payroll

Explanation

General sales taxes are a major source of revenue for state governments because they collect tax on many purchases made by consumers. Property taxes are more commonly a primary revenue source for local governments, while excise taxes apply to specific goods and payroll taxes are not a typical major state revenue source.

AI-written and checked against the verified answer.

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