Federalism and American Political Development
This chapter examines the role that federalism has played in the political development of the American state. First, it defines federalism as it relates to the division of power between unit and sub-unit level actors in contrast with the more commonly seen unitary and less common confederal systems around the world and in history. Then, we look at the codification of federalism within the constitutional order regarding implied, inherent, and concurrent powers. Finally, we observe the historical development of federalism from its nationalist beginnings with the Marshall court through its states’ rights oriented dual federalism.
After impacts of industrialization, urbanization, as well as the crisis of the 1930s era Great Depression, a new vision of intergovernmental affairs arose: that of cooperative federalism. This top-down approach reached its height in LBJ’s creative version, employed to implement the Great Society through the usage of grants-in-aid. These grant programs took the form of categorical and block formulations.
However, the conservative reaction against this “fiscal federalism,” as critics called it, led to Nixon’s and Reagan’s New Federalisms. These programs were characterized by a movement away from grants-in-aid as a device for national governmental expansion to one of state and local autonomy with general revenue sharing, a renewed emphasis placed on block over categorical granting, and devolution of power back to the states/localities. These patterns continued into the Bill Clinton and George W. Bush administrations with supporting Supreme Court decisions that led to a retreat of at least some elements of big government federalism.
During the Barack Obama administration more expansive programs were enacted to deal with the Great Recession and then were diminished or withdrawn as the economy began to improve. Although upheld by the Supreme Court, Obama’s healthcare initiative encountered political resistance from the first administration of Donald Trump and a relatively supportive Congress. Although the resistance was ineffective in dismantling Obamacare, Trump seized on strong enforcement of federal immigration policy as he threatened withdrawal of federal funding for other programs from sanctuary cities. His strong approach to federal funding came into question during his failed presidential campaign for a second term against Joe Biden. The Biden administration with a supportive, if minimally, Congress, managed to implement legislation that increased support for social programs with participation of the states. In his second term, Donald Trump renewed his effort to engage strong enforcement of federal immigration policy as well as attempting to withdrawal of federal funding for other programs.
Quizzes
Critical Thinking Exercises
1. Over the last century the relationship between the state governments and the national government has experienced periods of cooperation, tension, and resistance as political support for states’ rights periodically ebbed and flowed. In this chapter you followed the transition from Grant-in-aid to “Devolution.” There are always limits to the success of federal policies and the distribution of funds to the states to support them.
In the beginning of his second administration, President Donald Trump once again instructed various federal agencies, including the Departments of Justice and Homeland Security, to actively enforce federal immigration policy, various states and cities resisted efforts to include local and state law enforcement agencies in support of federal policy. Visit America’s Voice website with a detailed analysis of the moral, political, and legal dimensions of sanctuary cities and federal immigration policy. https://americasvoice.org/blog/what-is-a-sanctuary-city/
Once you’ve familiarized yourself with issues surrounding sanctuary cities and immigration policy, answer the following questions:
- Are the arguments opposed to federal immigration efforts sound?
- How did these efforts of President Trump impact the relationship between states and the national government?
2. Similarly, federal questions of jurisdictional authority and reach arose in 2010 when the Affordable Care Act (ACA), often referred to as Obamacare, was signed into law. The ACA included a massive expansion of Medicaid benefits and broadened availability to certain prescriptions. It also sought to overhaul the healthcare insurance industry by providing states with incentives to create health insurance exchanges through online marketplaces for the uninsured population.
Many news articles have considered the impact that the ACA will have federal-state relations. Consider the following two articles from Governing:
[https://www.governing.com/archive/col-affordable-care-act-case-study-for-cooperative-federalism.html]
and the Wall Street Journal: (http://www.wsj.com/articles/federalism-and-obamacare-1425513815).
Once you’ve familiarized yourself with federalism issues raised by the ACA, answer the following questions:
- Is the ACA consistent with previous phases of federalism or does this law represent a new phase of federalism?
- How do some of the provisions of the ACA impact the relationship between states and the national government?
Useful Links
Links to further content exploring the themes covered in this chapter
Federalism: Stanford Encyclopedia of Philosophy
A basic examination of the nuances of the division of power(s) involved in federalism.
Federalism: A Brief Synopsis
This site provides a brief synopsis of federalism as it relates comparatively and in the American contexts as well as its place in terms of constitutional issues.
Advisory Commission on Intergovernmental Relations
The advisory committee on intergovernmental relations is a bi-partisan organization that provides public policy research and analysis on federalism-related issues.
Liberty and American Federal Democracy
Famed researcher Daniel Elazar wrote extensively on the concept and practice of federalism, including in this essay on American federalism.
Institute on Intergovernmental Relations
This is the site for an inter-university research institute, the Institute on Intergovernmental Relations, which examines public policy and administration issues within federalism.
Keep Oregon’s Guard in Oregon
This is an interesting article detailing a movement’s call for returning Oregon state control over the National Guard in “undeclared” wars. Specifically, the article calls for the return and discontinued employment of the national guard in the Iraq War. It is ideological but informative of the shared powers phenomenon that is a persistent dilemma between the various levels of government in a federal system like ours.
Marshall’s View of Federalism
This interesting video presents the Marshall Court which developed the concept of judicial review and promoted a national based federalism. The video touches on the psychological predilections of Marshall himself in its presentation of his federalist vision of national-to-state relations.
Claremont Institute
The Claremont Institute supports research, scholarship, teachings, public forums, and conferences.
Cornell University Law Resources
The Legal Information Institute of Cornell University provides links to each state constitution.
National Conference of State Legislatures
A great website for information on federal-state issues regarding all 50 states. Daily email newsletters available.
Stateline
Information on news and policies regarding the 50 states. Provides insight and analysis of governmental policies and information concerning public officials.
National Center for Interstate Compacts
The Council of State Governments is the main website for an institute that is dedicated to the study and promotion of interstate compacts, a key development in federalism.
Senator Thompson on Federalism
This is a short clip starring former actor, Watergate lawyer, former Senator from Tennessee, and Republican presidential candidate, Fred Thompson, discussing federalism.
Chris Matthews on Federalism
This is from MSNBC’s primetime news where liberal broadcaster Chris Matthews is conducting an interview with the more conservative leaning Joe Scarborough over federal issues. Once again this presentation devolves the issue down to a national versus a state-centered approach to federalism.