A sizeable chunk of local revenue does not come from local taxes at all, but from grants and transfers from:
AOverseas investors
BOnline lotteries
COrdinary donations
DOther levels above
Answer & Solution
Correct answer: D. Other levels above
1. States and the federal government both send money down.
2. That flow is a large share of local budgets.
3. It comes from other levels above them.
_Source: OpenStax American Government 4e, Chapter 14, State and Local Government._
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