A recognizable signal of fiscal stress is:
A) Total revenues from own sources increasing as a percent of total revenues for all sources.
B) Increasing population.
C) Declining property values.
D) An increasing ratio of total revenues to total expenditures.

Question

Quizplus · Accepted Answer

Declining property values indicate a decrease in the tax base, leading to lower property tax revenues for the government. This can result in fiscal stress, as the government may struggle to meet its budgetary needs with reduced revenue.  A, B, and D are not reliable indicators of fiscal stress.

A Recognizable Signal of Fiscal Stress Is