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Chapter Twelve
Questions and Exercises
Examination Questions
1. Which of the following is an accurate statement about state lotteries?
2. Where was the first state-operated lottery of the twentieth century?
3. Which of the following distinctions separates government user charges from taxes?
4. User charges link funds produced to particular public services—individuals pay only for
the services they actually use. Why doesn’t all government funding come from such
freewill transactions and market exchange?
5. Which of the following is a logical reason for a state to implement a lottery as a way to
increase state revenue?
