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States and Local Governments Can Issue Bonds Where the Debt

Question 9

Multiple Choice

States and local governments can issue bonds where the debt service is to be paid from so-called "dedicated" revenues such as sales taxes, tobacco settlement payments, fees, and penalty payments. These structures, are called ________, and are also referred to as dedicated revenue bonds and structured bonds.


A) asset-backed bonds
B) public power revenue bonds
C) insured bonds
D) prerefunded bonds

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