Key points
Federalism describes the system of shared governance between national and state governments.
The states and the federal government have both exclusive and concurrent powers, which help to explain the negotiation over the balance of power between them.
The federal government can encourage the adoption of policies at the state-level through federal aid programs.
What is federalism?
Before we start talking about federalism, take a moment and see if you can count the number of government entities that have jurisdiction over the place you are right now.
What did you come up with? One? Three? More than that?
Your answer might differ quite a bit depending on where you are. You might be obligated to abide by the laws of your country, your state, your province, your district, your county, your city, or your town. In some countries, a citizen might be governed by three or more layers of government. In others, they might only be governed by a single national government.
In the United States, the two major layers of government are at the state and national levels. This system, where more than one layer of government has jurisdiction over the same territory, is called federalism. Although it seems natural to US citizens that government is divided into multiple layers, in fact, there are only 15 federal republics in the world.
In the United States, the federalist system emerged because the states evolved from separate colonies, which had diverse populations and different needs. The Framers of the Constitution envisioned that state governments, not the national government, would be the main unit of government for citizens on a day-to-day basis.
Civil War era diagram of federalism in the United States, showing the states reporting to the federal government, which reports to the Constitution. Â
Civil War era diagram of federalism in the United States, showing the states reporting to the federal government, which reports to the Constitution.
A Civil War-era diagram of federalism in the United States. Image credit: Wikimedia Commons
In some ways, that’s still the case. States issue marriage licenses and set the terms for divorce. State governments issue driver’s licenses and car registrations. They decide statewide speed limits and inspection requirements for cars.
But the Framers would likely be surprised to discover the extent to which the federal government and state governments are intertwined today. The balance of power between the two levels has varied over time as the needs of society have changed.
