The "fiscal mismatch" is responsible for all but one of the following trends since 1960:
A)increased intergovernmental transfers.
B)increased importance of fiscal federalism.
C)increased indirect control of state and local affairs by the national government.
D)increased direct control of state and local affairs by the national government.

Question

Quizplus · Accepted Answer

The "fiscal mismatch" refers to the trend of the national government assuming more control over state and local affairs through direct control of funding. This is reflected in increased direct control of state and local affairs by the national government, which is choice D. Increased intergovernmental transfers (choice A) and the importance of fiscal federalism (choice B) can be seen as responses to the fiscal mismatch, rather than causes of it. Increased indirect control of state and local affairs by the national government (choice C) is not necessarily a result of the fiscal mismatch and can be influenced by other factors.

The "Fiscal Mismatch" Is Responsible for All but One of the Following