What are the powers that both state and national governments can exercise, such as the power to levy taxes?

The correct choice highlights that state and national governments share certain authorities known as concurrent powers. These powers include the ability to levy taxes, borrow money, and regulate commerce, among others. Since these functions are essential for governance at both levels, they are exercised concurrently, allowing both state and federal entities to operate effectively.

The distinction of concurrent powers is crucial in understanding the federal structure established by the Constitution, where both governments can operate simultaneously in certain areas without one undermining the authority of the other. This shared responsibility enhances cooperation and coordination in governance, demonstrating the dynamic nature of U.S. federalism.

In contrast, reserved powers are specifically designated to the states, implying that they are not shared with the federal government. Implied powers are those not explicitly stated in the Constitution but are considered necessary to implement expressed powers. Exclusive powers are particular to the national government alone, emphasizing the division of responsibilities in the federal system. Understanding these categories helps clarify the distribution of power and responsibilities between state and national governments.