Final answer:
Both national and state governments are responsible for levying taxes, which is considered a concurrent power within the federal system of the United States. The correct option is C.
Step-by-step explanation:
Based on the details provided, which pertain to the division of powers within the federal system of government, the responsibility for levying taxes falls under both the national and state governments. This is known as a concurrent power, meaning it is shared between the two levels of government. Both federal and state entities have the authority to impose taxes on individuals and businesses, and utilize these funds to carry out their respective roles and responsibilities, such as building infrastructure, maintaining armed forces, and providing public services.
The federal government's authority extends to matters impacting the nation as a whole, such as defense, foreign policy, interstate commerce, and more. The state governments handle aspects more localized to their regions, including education, public safety, and regulating intrastate commerce. Thus, levying taxes is essential for both levels to effectively manage their jurisdictions and finance the services they provide.
With this understanding, the answer to the question is C) Both national and state governments are responsible for levying taxes.