The History of Federalism
It’s as simple as cake
Federalism is real American goodness
Dual Federalism: Marshall Court Era
Marshall Court Federalism:
Establishing a strong national government “The necessary ingredient”
• 1789-1834 Period of nationalization
– Dual federalism concept but the national government dominates
– Led by John Marshall (federalist = strong nat’l gov’t) 1801-1835
• Loose constructionist view of Constitution
• Using the elastic clause to grant implied powers
– McCulloch v. Maryland (supremacy clause/ issuing
currency/borrowing money/taxation)
– Gibbons v. Ogden (interstate commerce)
• Miscellaneous Case
– Marbury v. Madison (judicial review)
In other words…
“Marshall Court” dual federalism looked like this
Dual Federalism
(1835-1865)
Dual Federalism
“Vegetable oil and water don’t mix”
• 1835-1865 Division of powers between the state and
national government still exists but now shifts to
favor the states/individual under the Taney Court
– Dred Scott case
– Era of industrialization
• Strict constructionist view of the enumerated powers
and 10th Amendment thus limiting the elastic clause
• Post-Civil War - pre-Great Depression dual
federalism intact but no level of government
dominates
In other words…
“Taney Court” dual federalism looked like this
“The transition”
Dual to Cooperative
Why the need to change?
• Time and events fundamentally altered the
scope & purpose of government
– Great Depression
– States overwhelmed with the burden of
promoting the “general welfare” (unemployed)
The federal government could assist
Cooperative Federalism
Cooperative Federalism
“Mixing a masterpiece”
• 1930s-mid 1960s
• Increasing role of federal government in domestic policy
• Policy sharing technique- use of federal grants-in-aid to
encourage states to pursue the national agenda
– Categorical grants
• Formula
• Project
• Policy examples:
– New Deal programs- Feds set policy states implement it
– Interstate highway system
– Great Society programs (Medicare, Medicaid, Elementary &
Secondary Education Act)
Devolution
Devolution
“Cutting the cake”
• 1968-2001 (possibly still today)
• Origins:
– President Nixon late 1960s-early ‘70s (new/fiscal federalism)
– Strengthened by Reagan (devolution revolution 1980s)
• Returning more authority to the states
– Increased use of block grants to limit unfunded mandates
• States are laboratories of experimentation
• Policy examples:
– The 1996 Welfare Reform Act reduced the restrictions on how
states spend federal grant money
The link ed image cannot be display ed. The file may hav e been mov ed, renamed, or deleted. Verify that the link points to the correct file and location.
End of the Devolution Revolution?
Death of Devolution?
Death of Devolution?
• Recent policy examples:
– Highway funding (seat belt laws, drinking age)
Mandatory seat belt laws. “Live free or die!”
Death of Devolution?
• Recent policy examples:
– Education:
• No Child Left Behind (Bush)
• Race to the Top (Obama)
Death of Devolution?
• In every case the feds create program and if
states want the money they have to accept
the stipulations
• But…
Death of Devolution?
• When it comes to non-monetary issues the
feds are not usually as concerned
• Pot
Reviewing Grants-in-aid basics
• Definition- money paid by one level of
government to another to provide a method
to redistribute income thus removing gross
inequality among states and its citizens
• Types:
– Block
– Categorical- project & formula
Purpose
• Helps solve a financial dilemma for states
– Most states must have a balanced budget, the
federal government does not
• DC pays the bill and states run the programs
• Superior option to unfunded mandates
Positive Attributes of Grants
• Attractive to both state and federal governments
– POLITICS
• “Free” money to the states
• State governments can take credit for getting the money
and still blame Washington for high taxes
• All states can benefit from many programs
• Congressmen use these porkbarreling practices to secure
re-election
Negative Attributes of Grants
• National government seeking to control state
responsibilities
– In effect bribing states to do the federal
government’s bidding
• Winners & losers
– Unequal distribution of wealth (tax money back to
the states)
• Certain grants must by matched by state funds
Advantages/Disadvantages of Federalism
•
•
•
•
Positive
Ideally suited for a large geographic area
– Keeps government close to the people
– Multiple routes for participation
Promotes diverse policies & encourages
experimentation
Allows for quick action on matters of local
concern
Avoids a concentration of power
– Prevents tyranny
– Multiple centers of power so one faction can’t
dominate
Advantages/Disadvantages of Federalism
Negative
• Incredibly expensive
– Taxation at multiple levels
– Duplication of services
• Inefficient
– Gridlock, more laws/red tape
– Confusion knowing what different levels of government are doing
• Inequality as states differ in the resources they provide
– Residents of some states receive better/worse benefits
– Inequality in federal funding to the states per tax dollar
• Encourages/favors those involved in special interest groups
– “Squeaky wheel receives the grease”
• Federal government blackmails state governments to do its bidding
– Examples:
• Lowering the Blood Alcohol Content limit
• Seat belt laws