Answer:
C) both set policy related to the economy
Step-by-step explanation:
Foreign relations, communication, currency and border management are the central policy of many countries, state and local body do not interfere in those subjects because it needs uniformity. Public education and family law are the reflection of the local culture but they are not in the federal level of government. Decentralization and devolution of powers in an economy and financial relations reflects the federal character of the government, it strengthens the grassroot level of the democracy.