The overwhelming portion of the government's education money is spent on which of the following?

• A. Student loans
• B. Grants
• C. Work-study programs
• D. All of the above

Answer: (D)

Education funding from the federal government comes in three major forms that directly support students: loans, grants, and work-study. Loans provide borrowed money that must be repaid, grants offer money that does not need to be repaid, and work-study gives eligible students part-time jobs to earn money for education. Taken together, these three categories constitute the bulk of federal education spending, so the best choice is the one that includes all of them. While the exact share for each category can vary by year, each one represents a sizable portion of the education budget, and policy discussions often focus on how to balance them.