Which statement is most accurate about the sources of revenue for local and state governments?

Question

Question 9 options:

Local and state governments generate an equal amount of revenue from issuing licenses and certificates.

Taxes generate well over one-half the total revenue of local and state governments.

Property taxes generate the most tax revenue for both local and state governments.

Between 30 and 40 percent of the revenue for local and state governments comes from

grant money.

Answer 1

The most accurate statement about the sources of revenue for local and state governments is:

Taxes generate well over one-half the total revenue of local and state governments.

While all the statements may contain elements of truth, taxes, including property taxes, sales taxes, income taxes, and various other taxes, typically make up a significant majority of revenue for both local and state governments.