Which of the following is a type of grant that can be used only for a narrowly defined purpose?

The correct answer is Categorical Grant because this type of grant is specifically designed for a narrowly defined purpose or specific program. Categorical grants come with strict guidelines and conditions, which require the funds to be used exclusively for the designated objectives outlined by the granting agency. This focuses the funding on targeted areas, such as education, healthcare, or transportation, ensuring that the money is allocated to predetermined needs.

In contrast, Block Grants provide more flexibility by allowing state and local governments to decide how to spend the funds within broad categories, rather than for a specific purpose. Project Grants are similar to categorical grants as they fund specific projects, but they often have time limits or are awarded for defined objectives, which may provide more flexibility than strict categorical funding. General Grants, while less commonly referenced, typically give broad discretion and are less restrictive than both categorical and project grants, allowing for a wider range of uses.