Which of the following characteristics is unique to governments?
A)The ability to have activities financed with tax-exempt debt.
B)The power to impose fees.
C)The ability to issue tax-exempt debt.
D)The ability to have activities financed by Federal grants.

Question

Quizplus · Accepted Answer

The ability to issue tax-exempt debt is unique to governments as it allows them to borrow money without having to pay taxes on the interest payments. This is a benefit that is not available to businesses or individuals. The other options, although often utilized by governments, are not unique to them and can also be used by businesses and individuals.

Which of the Following Characteristics Is Unique to Governments