Which One of the Following Is an Example of Fiscal

Multiple Choice

Which one of the following is an example of fiscal federalism?

A) National government officials threaten to tax state governments to steer state officials toward accepting a desired federal policy.
B) National government officials issue federal funds to state governments to encourage state officials to meet certain policy requirements.
C) National government officials require states to increase taxes to meet federal mandates.
D) National government officials lend money to the states on a temporary basis.