A) Why is property tax considered a regressive tax? What measures does government take to make it less regressive? Please use one example to show how property tax can be made less regressive.
B) What is the main difference between user fees and taxes? When is it appropriate to fund government services with user fees and when is it appropriate to fund them with general tax dollars?
C) Please describe three different types of intergovernmental grants and name at least one example for each type. Why do we have intergovernmental grants in this country?
D) What is the difference in the purpose of borrowing between federal vs. state and local governments? What is the main institutional factor that leads to such a difference?