How did the Constitution address national debt and the assumption of state debts after the Revolution?

• A. It rejected federal debt and left state debts as-is.
• B. It kept state debts separate and created no national debt.
• C. It authorized federal assumption of state debts and established a national debt as part of a unified financial system.
• D. It capped national debt and required states to repay all their own debts.

Answer: (C)