Need for revenue allocation in a federal state. - SS3 Government Past Questions and Answers - page 1
1
What is the main reason for revenue allocation in a federal state?
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A
To distribute funds fairly among different levels of government
B
To centralize power in the federal government
C
To promote inequality among states
2
What are some functions and responsibilities of different levels of government in a federal state?
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A
National defense, healthcare, and education
B
Road construction, law enforcement, and welfare programs
C
All of the above
3
What is the principle of fiscal federalism?
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A
Centralization of financial resources
B
Equal distribution of funds among states
C
Local control over resources and decision-making
4
What can happen without revenue allocation in a federal state?
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A
Overfunding of essential services
B
Equal development among states
C
Underfunding of essential services and unequal development
5
What is the benefit of revenue allocation in promoting regional development?
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A
Increased power of the federal government
B
Improved efficiency and effectiveness of funds
C
More unequal distribution of funds
6
Why is revenue allocation necessary in a federal state?
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7
How does revenue allocation promote fiscal federalism in a federal state?
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