Federalism

Federalism is a system of government in which sovereignty is constitutionally divided between a central government and subnational entities, such as states, provinces, or cantons. The key idea is that both levels derive their authority from the constitution and can legislate and govern within their respective spheres. The exact allocation of powers varies, with certain matters reserved for the central government (defense, foreign affairs, monetary policy) and others for subnational governments (education, local transportation, health). Residual powers may remain with subunits unless reserved.

The constitution often provides rules for dispute resolution and for ensuring both levels can operate independently, sometimes through concurrent powers or overlapping jurisdiction. Federal systems may be characterized as symmetrical, with subnational units of similar status, or asymmetrical, where some units have greater autonomy.

In practice, federal arrangements support regional representation, minority protections, and policy experimentation. They can also create resilience and checks on central power, while allowing tailored solutions for diverse populations. However, federalism can complicate coordination, create fiscal disparities, and lead to intergovernmental conflicts or policy fragmentation.

Common examples include the United States, Germany, Canada, Australia, and India. Variations exist, and many countries have evolved with more centralized or more devolved arrangements over time. Debates in federations often focus on the proper balance between national uniformity and regional autonomy, and on how to allocate fiscal resources and powers to meet public needs.