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Abstract

A categorical grant is one alternative for modifying the Food Stamp Program (FSP) as pressures mount for restraining the growth of Federal expenditures for public assistance programs. Use of a categorical grant, a State-administered and federally financed program benefiting a single activity or group, would require a formula to assure equitable distribution of funds. This report highlights five formulas, using 1979 data to assess effects on program benefits and recipients. Some States would get less funding under any of the formulas.

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