Which one of the following correctly states the difference between a block grant and a grant-in-aid?
a. Grants-in-aid can be spent for any purpose; block grants can be used only for narrow, specific purposes.
b. The national government gives far less in both block grants and grants-in-aid than it used to.
c. Block grants originated during the Civil War; grants-in-aid did not begin until the early 1900s.
d. Block grants are given by the states to the national government; grants-in-aid flow from the national government to the states.
e. A grant-in-aid can be spent only for specific purposes; block grants can be used for broad, general purposes.
Answer: E
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