Certified Government Financial Manager (CGFM) 2026 – 400 Free Practice Questions to Pass the Exam

Question: 1 / 875

Which method is most effective for an executive branch agency to encourage the use of a service?

Implement pre-registration

Raise excise taxes

Suspend environmental law

Lower user fees

Lowering user fees is considered the most effective method for an executive branch agency to encourage the use of a service because it directly reduces the financial burden on individuals or entities seeking to use that service. When user fees are lower, it makes the service more accessible and attractive to potential users, thereby increasing participation and utilization rates.

This strategy effectively aligns with typical economic principles where decreased costs generally lead to an increase in demand. By lowering user fees, the agency can stimulate usage without the need for additional regulations or procedural changes that might accompany the other options. This method also communicates to users that the agency values their participation and is working to make its services more affordable.

While pre-registration can help manage service delivery effectively, it does not inherently attract more users. Raising excise taxes typically discourages usage by increasing the cost, which is counterproductive to the goal of encouraging service use. Suspending environmental law might generate short-term benefits, but it raises significant ethical and legal concerns that could lead to public backlash and long-term consequences that undermine user trust. Therefore, lowering user fees is the most straightforward and impactful approach to promote service usage among an audience.

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