The state of Junis wants to revamp its infrastructural facilities of bridges and underwater tunnels. Consequently, it invites highly competent international infrastructure development companies to pitch in with their bids. In order to attract them, Junis lowers its tax rates below the national taxation levels imposed on foreign investors. This scenario illustrates the model of _____.

A. cooperative federalism
B. fiscal federalism
C. dual federalism
D. competitive federalism
E. picket-fence federalism


Answer: D

Political Science

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