Fiveables 1.7

Foundations of Federalism

Defining Federalism

Federalism is the constitutional arrangement that allocates sovereign powers between the federal government and the individual states. Unlike a unitary system —where power is centralized—or a confederation-where power is dispersed-federalism seeks to balance authority between national unity and regional self-rule.

This division is central to debates about liberty, state sovereignty, and national authority. It enables states to serve as "laboratories of democracy" while empowering the national government to enforce constitutional rights and manage national crises.

Article IV and Inter-State Obligations

Article IV of the Constitution addresses relationships among states and between states and the federal government. It ensures mutual respect for laws and rights while affirming republican governance.

Full Faith and Credit Clause: States must honor the legal decisions and public records of other states (e.g., marriage licenses, civil judgments).
Privileges and Immunities Clause: Citizens of one state cannot be treated unfairly in another.
Extradition Clause: Fugitives must be returned to the state in which a crime was committed.
Admission of New States: Congress holds authority to admit new states to the Union.
Republican Form of Government: The federal government must guarantee that every state maintains representative democracy.

* Article IV creates national unity through mutual legal recognition while protecting democratic governance within each state.

Types of Powers in the Federal System

Types of Powers in the Federal System

The Constitution outlines specific powers for different levels of government, which are typically grouped into exclusive, concurrent, and reserved powers.

Type of Power	Definition	Examples
Exclusive Powers	Belong only to the federal government	Declaring war, coining money, foreign treaties
Reserved Powers	Belong only to the states (10th Amendment)	Establishing schools, marriage laws, licensing
Concurrent Powers	Shared by both federal and state governments	Taxation, building roads, enforcing laws
Implied Powers	Derived from the Necessary and Proper Clause	Creating a national bank, regulating air travel

These divisions create both cooperation and friction between state and national governments

—particularly when priorities or interpretations differ.

* The 10th Amendment affirms that powers not delegated to the federal government are reserved to the states or the people, reinforcing the principle of limited federal authority.

Shifting Balance of Power Over Time

The balance between state and federal power has shifted repeatedly in American history-through court decisions, policy shifts, and crises.

Judicial Decisions

The Supreme Court has played a decisive role in shaping federalism.

McCulloch v. Maryland (1819): Upheld implied powers and national supremacy.
Gibbons v. Ogden (1824): Expanded federal control over interstate commerce.
United States v. Lopez (1995): Limited the reach of the Commerce Clause, protecting state authority.

Judicial interpretation can expand or restrict federal power depending on how constitutional clauses are read-especially the Commerce Clause and the Necessary and Proper Clause.

Amendments and National Crises

The 14th Amendment shifted power to the federal government by enabling federal courts to protect civil rights against state infringement.
The New Deal Era greatly expanded federal regulatory authority.
The Civil Rights Movement saw federal intervention to enforce equal protection in states resistant to change.

These developments illustrate how national priorities-economic, security-related, or moral— can influence federal-state dynamics.

Federalism and Fiscal Tools: Grants and Mandates

Federal-state relations today are also shaped by money. The national government uses financial incentives and conditions to influence state behavior. These tools reflect different degrees of autonomy and control.

Type	Description	Who Prefers It	Example
Revenue Sharing	Federal funds with no conditions; states decide how to spend	Preferred by states	General budget supplements (rare today)
Block Grants	Federal funds with broad goals and few conditions	Preferred by states	Temporary Assistance for Needy Families
Categorical Grants	Funds tied to specific purposes with detailed conditions	Preferred by federal govt	Medicaid, Head Start
Mandates	Federal requirements imposed on states, with or without funding	Often opposed by states	Americans with Disabilities Act (ADA)

Grants provide flexibility or control depending on their design, while mandates may impose burdens without resources.

lese fiscal tools give the federal government leverage over issues traditionally managed by the ates-like education, infrastructure, and healthcare-thus blurring the lines of authority.

Modern Debates and Applications

Today, federalism remains a live and evolving issue. From education to public health, climate policy to civil rights, disputes over the rightful scope of state vs. federal power continue.

Marijuana Legalization: Some states legalize it, while federal law still bans it-raising questions of enforcement and supremacy.
COVID-19 Response: The pandemic highlighted tensions over mask mandates, vaccine distribution, and emergency powers.
Election Laws: States set election procedures, but federal legislation (e.g., Voting Rights Act) may intervene to prevent discrimination.

These examples reveal how federalism shapes the everyday lives of citizens and how it reflects ongoing struggles over local autonomy, national standards, and individual rights

* Federalism is not a static concept—it evolves through negotiation, litigation, and democratic participation.

Term	Definition
block grants	National funding given to states with minimal restrictions on its use; preferred by states over other forms of federal funding.
categorical grants	National funding restricted to specific categories of expenditures; preferred by the national government and the most commonly used form of federal funding.
concurrent powers	Powers shared between both the national and state governments, such as the power to collect taxes, make and enforce laws, and build roads.
enumerated powers	Specific powers explicitly granted to Congress in the Constitution, such as taxation, declaring war, and regulating interstate commerce.
exclusive power	Power held by only one level of government, including enumerated powers written in the Constitution and implied powers inferred from the Necessary and Proper Clause.
federalism	A system of government in which power is divided between a central national government and state or regional governments.
implied powers	Powers of Congress that are not explicitly stated in the Constitution but are derived from the necessary and proper clause to carry out enumerated powers.
mandates	Requirements imposed by the national government on the states.
Necessary and Proper Clause	A constitutional provision that grants Congress the authority to enact legislation needed to carry out its enumerated powers.