Glossary
Bond
A certificate or other evidence of debt in which the issuer promises to repay the bondholder the amount of a loan and, usually, to pay a fixed rate of interest at specified intervals. A general obligation bond is a bond secured by the issuer's general taxing powers, often expressed, in the case of the state, as the "full faith and credit of the state." A revenue bond is a bond that is repayable exclusively from revenue generated by the specific projects financed by the bond.