Answer :
The form of federal assistance called general revenue sharing provides money to state governments with few strings attached.
General Revenue Sharing is a programme that offers the States and local government units general purpose budgetary aid. It is effective, efficient, and equitable.
There are primarily two categories.
- Grants-in-aid- are financial contributions made by the federal government to the state governments for a specific objective.
- Grants in blocks: Money that is supplied with minimal restrictions and for a broad purpose.
Initiated in 1972, the General Revenue Sharing programme, according to President Ford, has been a resounding success because it upholds and embodies his belief in the idea of Federalism, a distinctive feature of the American system that allows and encourages innovation and freedom of action at all three levels of government.
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