Needs-tested spending
A)is directing government spending and taxes to states that need the most help.
B)is giving tax cuts to wealthy people so they will increase their spending.
C)includes transfer payments such as food stamps and unemployment benefits.
D)includes homeland defense spending.
E)cannot be changed without changes in the laws.

Question

Quizplus · Accepted Answer

Needs-tested spending refers to government programs that provide benefits or support to individuals or families based on their financial need. This includes transfer payments such as food stamps and unemployment benefits, as well as other forms of assistance like housing subsidies and Medicaid. Choice A is not entirely accurate as needs-tested spending may also be directed towards individuals rather than just states. Choice B is incorrect as it refers to tax cuts rather than government spending. Choice D is incorrect as homeland defense spending is not needs-based. Choice E is incorrect as needs-tested spending can be changed through legislative action.

Needs-Tested Spending