IV. Intergovernmental
Relations
1. A system of government in which the national and state governments remain supreme within their
own spheres. For example, the national government is responsible for foreign policy, while the states
have exclusive responsibility for the public schools.
A. Dual Federalism
Question # 17
2.
3.
B. Cooperative Federalism
2. Dual federalism is often called “layer cake” federalism. It characterized the relationship between
the nation and the state governments until the advent of the New Deal during the 1930’s.
1. A system of government in which the national and state governments work together to complete
projects. For example, the interstate highway program features a partnership in which national and
state governments share costs and administrative duties.
Question # 18
2. Cooperative federalism is often called “marble cake” federalism because of blurred distinction
between the levels of government.
C. Fiscal Federalism
1. Refers to the pattern of spending, taxing and providing grants in the federal system.
2. In 2010, state and local governments received about $480 billion in federal grants. These grants
accounted for about 21 percent of all funds spent by the state and local governments.
Question # 19
3. Types of federal grants
 Categorical grants- made for specific, carefully defined purposes. Examples include money
spent to build interstate highways and wastewater treatment plants.
 Block grants- made for a broadly defined purpose. Block grants give the states broad
discretion in how the money will be spent. Examples include money given to the states for
homeland security and community development.
4. Mandates
 A mandate is a rule telling states what they must do to comply with federal guidelines.
 Civil rights and environmental protection are the most common mandates. For example, state
programs may not discriminate against people because of their race, sex, age or ethnicity.
Summary 4