AP US Government

Category - Public Policy

Which of the following types of grants require competitive bids and also often require a certain amount of matching money?
  1. Block grants
  2. Grants-in-aid
  3. Project grants
  4. Formula grants
Explanation
Answer: C - Project grants require competitive bids and also often require a certain amount of matching money. Competitive bids and matching money are often required for project grants, a major form of federal assistance for states and local governments. Other types of assistance are grants-in-aid (for specific policy programs), block grants (typically for community development, education programs, and law enforcement), formula grants (which use federal rules to indicate who gets the grants and how they apply), and matching funds/grants (which require a set of rules based upon a specific percentage of local money).
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