The largest share of expenditures by state and local governments is for
A)purchases of goods and services.
B)national defense.
C)transfer payments.
D)interest payments.
E)law enforcement.

Question

Quizplus · Accepted Answer

State and local governments primarily spend their budgets on purchases of goods and services, including infrastructure, education, healthcare, and public safety, among other essential services. Transfer payments, such as welfare and social security, are typically funded by federal governments. National defense is also a primarily federal expenditure, and interest payments are a result of previous borrowing and can vary widely depending on the government's debt levels. Law enforcement is typically included in purchases of goods and services.

The Largest Share of Expenditures by State and Local Governments