What type of block is used to construct a collection of nested configuration blocks in Terraform?

The type of block used to construct a collection of nested configuration blocks in Terraform is the dynamic block. This block allows you to generate multiple instances of nested content based on a variable collection, such as a list or map. It is particularly useful for situations where the number of nested resources or attributes may vary based on external factors or input variables.

When you use a dynamic block, you can iterate over your collection and create the necessary nested blocks without repeating the same code for each entry. This enhances the flexibility and maintainability of your Terraform configuration. For example, within a dynamic block, you might reference a set of values to create multiple resource instances or set specific attributes based on the items in that collection.

This capability is not provided by a nested, collection, or wrapper block, as none of those types are defined in Terraform's language syntax. The dynamic block is specifically designed to handle variable or iterative content, making it the correct choice for constructing nested configurations.