Which plan allows states to help decide methods of spending federal money to aid poor citizens?

• A. Categorical grants
• B. Block grants
• C. Matching grants
• D. Unfunded mandates

Answer: (B)

Verified step by step guidance

1. Understand the types of federal grants and their characteristics: Categorical grants, Block grants, Matching grants, and Unfunded mandates.
2. Recall that Categorical grants are federal funds provided for specific purposes with strict guidelines on how the money must be spent.
3. Recognize that Block grants provide states with federal money but allow them more flexibility and discretion in deciding how to spend the funds to aid poor citizens.
4. Note that Matching grants require states to match a certain amount of federal funds, often for specific programs, limiting flexibility.
5. Identify that Unfunded mandates are federal requirements imposed on states without providing federal funds, so they do not involve spending federal money.