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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.

To learn more about  federal government, refer

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