Counties, municipalities, townships, school districts, and other special districts are all local governments. The largest categories of spending by local governments make up approximately 67% of their total expenditures. Which of the following is not an expenditure of local governments?
a) public utilities- because fewer utilities serve people on a statewide basis, state governments spend a much smaller percentage of their budgets on public utilities. [Incorrect]
b) Elementary and Secondary Education- expenditures in this category include teachers' and administrators' salaries, textbooks, and construction and maintenance of school buildings.
c) public welfare- takes the form of cash assistance, payments for medical care, expenditures to maintain welfare institutions, and other miscellaneous welfare expenditures
d) Interest on Debt- State and local governments sometimes borrow money to cover operating costs or capital spending.
e) Highways- local governments spend almost as much on highways, roads, and street repairs as they do on police protection. Includes the repair of potholes, street signs, and other street-related items.