Chapter 3
Federalism
Chapter 3 Federalism:Unit Outline
1. Introduction
• Why Federalism Matters
• Federal vs. centralized structures
2. Concerns of the Framers
• Federalist No. 39 & Democracy in America
3. History of Federalism
4. The Constitution and Federalism
• Major sources of conflict: supremacy, commerce and
necessary and proper clauses.
• Other constitutional provisions
5. Federalism court cases
6. Fiscal federalism
7. Evaluation of federalism: advantages and disadvantages
Federalism
“The question of the relation of the states to the federal
government is the cardinal question of our constitutional
system. It cannot be settled by the opinion of one generation,
because it is a question of growth, and each successive stage of
our political and economic development gives it a new aspect,
makes it a new question.”
Woodrow Wilson
Current Issues in Federalism
 Immigration reform: Can states pass laws designed to
dissuade illegal immigrants? (Carrying documents,
punishing landlords, etc.)
 Affordable Care Act: What provisions can states
choose not to participate in? (Medicaid expansion,
health insurance exchanges)
 Voter ID laws – Do state requirements for photo
identification interfere with the constitutional right to
vote?
 Firearms regulations – Can states “nullify” federal gun
regulations.
Why Federalism Matters



Federalism is a system in which the national
government shares power with state/local
governments.
The federal government is not all-powerful.
State governments have the authority to
make final decisions over many
governmental actions.
The most persistent source of political
conflict is between national and state
governments.
Why Federalism Matters

Federalism explains many of the
government actions that affect our everyday
lives:
•
•
•
•
•
How much we pay in taxes.
How fast we can drive.
Drinking age.
How “successful” our schools are.
Whether children are covered by
health insurance.
• Punishments for crimes (death penalty)
• What school cafeterias offer for lunch.
Why Federalism Matters




A federal system is rare in the world. Unitary
systems are more common.
U.S. states maintain a high degree of
independence from the national government.
American people are committed to idea of
local self-government.
Members of Congress are elected by and
responsive to local constituencies.
Figure 3.1 Lines of Power in the Federal System of
Government
Copyright © 2011 Cengage
Figure 3.1 Lines of Power in the Federal
System of Government
Figure 3.1 Lines of Power in the Federal
System of Government
The Founding


A bold new plan: There was no precedent
for a “federal republic”
Framers envisioned people shifting their
support between levels of government to
keep the two balanced so neither level
would have authority over the other.
Copyright © 2011 Cengage
The Founding


The Constitution includes elastic language
because precise definitions of power are politically
impossible due to competing interests.
Congress shall have the power to “make all
laws which shall be necessary and proper for
carrying into execution the foregoing powers.”
(Article I)
Copyright © 2011 Cengage
The Founding
TENTH AMENDMENT
The powers not delegated to the United States by the Constitution,
nor prohibited to the States, are reserved to the States respectively,
or to the people.




Added as an afterthought to calm states that feared the
intentions of nationalists.
Has not had much significance through history.
Supreme Court has recently given more importance to Tenth
Amendment.
Example: Congress may not regulate the labor market for
state government employees. (1974)
Copyright © 2011 Cengage
History of Federalism







The Supreme Court Speaks
Nullification
Dual Federalism
Cooperative Federalism
Creative Federalism
New Federalism
Devolution
Bowdoin College Museum of Art, Brunswick, Maine,
Bequest of the Honorable James Bowdoin
Copyright © 2011 Cengage
Thomas Jefferson was an
ardent supporter of states’
rights, p. 54
History of Federalism
• Federalism has changed over
time to meet new political needs.
• Over the course of U.S. history,
American federalism has
experienced a steady expansion
in national power.
• In recent years, a trend in
American federalism called
devolution has attempted to
return power to the states.
History of Federalism
• Chief Justice John Marshall
supported vision of strong
national government.
• McCulloch v. Maryland (1819)
settled two questions:
• Can the federal government do
things not explicitly stated in the
Constitution? (Yes.)
• Is the federal government
supreme to the states? (Yes)
Copyright © 2011 Cengage
History of Federalism
DOCTRINE OF NULLIFICATION
• If a state believed a federal
law violated the Constitution,
it could declare the law null
and void.
• Used by southern states to
push back against northern
efforts to end slavery.
• Question settled by Civil War.
States cannot nullify federal
laws.
Copyright © 2011 Cengage
History of Federalism
DUAL FEDERALISM
• Both national and state governments are
supreme in their own spheres, which should be
kept separate.
• Model: 1789 – 1930s.
• Example: Interstate commerce – federal
domain, intrastate commerce – state’s domain.
History of Federalism
COOPERATIVE FEDERALISM
• Change due to Great Depression.
• Model: 1930s – 1960s.
• National and state governments work together
to solve problems.
• FDR’s New Deal required states to cooperate
with federal programs to achieve success.
• Examples: Social Security, unemployment,
infrastructure development.
History of Federalism
Dual Federalism
(layer cake)
Cooperative federalism
(marble cake)
(Analogy from The Federal System, by Morton Grodzins)
Copyright © 2011 Cengage
Grodzins: The
Federal System
“an inseparable mingling of differently colored ingredients,
the colors appearing in vertical and diagonal strands and
unexpected swirls.”
“So functions are mixed in the American federal system.”
Grodzins: The
Federal System
CENTRALIZATION VS. DECENTRALIZATION
• Grodzins: The Constitution decentralized power. The Supreme
Court has allowed Congress to have “a relatively free hand.”
• Decentralizing components of the original Constitution:
o Two Senators from each state.
o The role of states in conducting elections.
o Relatively few limitations on the lawmaking power of states.
o Many clauses of the Constitution are simple and clear and not open
to liberal interpretation.
• Political parties operate in a way that decentralizes power.
History of Federalism
CREATIVE FEDERALISM
• 1960s: President Lyndon Johnson expanded
powers of national government
• Great Society program: initiatives aimed at
eliminating poverty and social inequality.
• Creative federalism: released federal funds
through grants to states to achieve national
goals.
History of Federalism
CREATIVE FEDERALISM
• Programs: Medicaid, Head Start,
urban renewal.
• If national government determines states not
fully cooperating, funding withheld
• Threat of losing money powerful tool.
• Grant system increased size, cost of national
government.
History of Federalism
NEW FEDERALISM
• 1980s: President Ronald Reagan supported returning
power to the states
• Believed the national government was too big and too
intrusive in people’s lives.
• Believed states were better at providing services.
• Cut federal grants and relaxed spending rules states
had to follow.
History of Federalism
THE DEVOLUTION REVOLUTION
• 1994 elections: Contract with
America—Republican campaign
promise to achieve specific goals
• Central idea: devolution—returning
power to states
• Reduce size and power of national
government by eliminating costly
federal programs.
• Since 1994, the scope and cost of the
federal government has increased.
Newt Gingrich
Speaker of the
House
1995-1999
Federalism:
Good or Bad?
• Support for a federal system is based
on Americans’ desire for localized
bases of political power.
• Federal system protects liberty by
decentralizing power.
Federalism:
Good or Bad?
• Hurricane Katrina: Case study in breakdown of
federalism.
• Confusion and bickering among government
agencies at different levels made the disaster worse.
• President Bush’s approval ratings dropped after
Katrina and never recovered to the same level.
• Process of devolution slowed after Katrina.
Federalism:
Good or Bad?
• Ensures ample
opportunity to mobilize
political activity.
• Many alternatives for
citizens to make their
voices heard.
• If one official won’t
respond, appeals can be
made to other officials or
levels.
• Can result in confusion
for the citizen.
• He or she does not know
which entity is
responsible for what.
• Doesn’t know what
officials to contact.
• Requires experienced
citizenry (de Tocqueville)
Federalism:
Good or Bad?
Pluralism: The political system is composed of competing groups
trying to influence government policy.
• Interest groups cannot
control government
(Federalist #10 in action)
• Many centers of power
means one faction cannot
control all.
• Small groups can be
heard and influence
policy.
• Small, organized groups
can thwart the will of the
majority.
• Example: A few southern
senators blocked civil
rights laws even after
most citizens favored
them.
Federalism:
Good or Bad?
• Diverse policies
encourage creativity.
• States can be
“laboratories of
democracy.”
• Policy successes can be
copied, failures avoided.
• State solutions can lead
to national solutions.
• Diverse policies can lead
to inequality among
citizens.
• Citizens in some states
have advantage over
those in other states
(welfare, education).
• Per pupil education
spending (2005-2006):
 Vermont $15,139
 Virginia $ 8,725
 Utah
$ 5,964
Federalism:
Good or Bad?
• Diverse policies needed
because of different local
needs.
• Diverse policies lead to
inequality and confusion
among citizens.
• Example: speed limits in
Montana vs. Connecticut.
• Some policy differences
are arbitrary and
outdated.
• Examples: Variations in
driving laws for teens.