Federal Grants and Federalism Concepts

Block Grants

• Federal grants allowing local/state governments flexibility in allocating funds.
• Broad usage for a variety of services, typically with minimal restrictions.
• Example: Low Income Home Energy Assistance Block Grant supports energy bill payments for low-income families.

Categorical Grants

• Federal grants with strict regulations on fund usage for specific purposes.
• Primarily used for narrowly defined programs indicating limited allocation scope.
• Common examples: Medicaid and Food Stamp Program.

Dual Federalism

• Also known as "layer cake" federalism; power is distinctly divided between federal and state governments.
• States operate independently without federal government interference.
• Preferred by conservatives who advocate for minimal federal intervention in state affairs.

Cooperative Federalism

• Referred to as "marble cake" federalism where all levels of government collaborate on shared issues.
• Encourages joint problem-solving among federal, state, and local entities.
• Exemplified by the governance structure in the United States.

Explore the key concepts of federal grants, including block and categorical grants, and understand the differences between dual and cooperative federalism. This quiz delves into how these frameworks impact the relationship between state and federal governments. Test your knowledge on the intricacies of these forms of governance.