Question

In decentralized planning, local government bodies are often given the authority to:

• A. Implement national economic policies and set interest rates.
• B. Control foreign trade agreements and currency exchange rates.
• C. Raise local taxes and allocate funds for local development projects.
• D. Manage national defense and foreign policy initiatives.

Answer 1

Answer:

C. Raise local taxes and allocate funds for local development projects.

• Local governments in a decentralized system often have fiscal autonomy, including the power to raise and spend funds for local projects.