The system of government from 1789 to about 1937, in which fundamental governmental powers are shared between the federal and state governments and in which the states exercise the most important powers, is known as .

Dual Federalism

Explanation: Dual Federalism is a theory which distributes power between the federal and the state governments. It argues for both the federal and the state governments to have authority and responsibility over individuals, although to different extents. In this form of federalism the federal government exerts its authority over such matters as the military and foreign affairs while the state government should be responsible for welfare and safety.

Dual Federalism was the system of interpreting the constitution between 1789 to about 1937.

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