Examples Of Cooperative Federalism

Federalism can be defined as the division of power between the federal government and the states. The Articles of Confederation gave little power to the central government due to fear from previous rule of England. However the federal government quickly realized how fundamental a strong central government is. One that could raise a national army and allowed congress to collect taxes, issue national currency and resolve other issues. This brought us to the creation of the constitution, since the ratification, the federal government relative to the power of the states has increased. Especially after the Great Depression, the New Deal blurred the lines that split the federal and state government. This is known as cooperative federalism, a concept

In 1816, congress creates a national bank to regulate commerce between the states. A national bank is created in the state of Marylin, only the second federal bank institution. It main purpose was to handle all monetary transaction of the federal government and stabilize the economy. The dispute began in 1818, Maryland general assembly passes a law that that said that all banks in Maryland must be charted by the state or pay a tax. The head of the bank, James McCulloch refused to pay the tax. Then the state of Maryland sue him in a state court, the state argued using the 10 amendment, that since the power isn't given to the federal government or prohibited from the states, it is “reserved” to the states. The court ruled that since the power to create a national bank isn't explicitly delighted in the constitution, it is unconstitutional, therefore the state of Maryland has the power to tax the national bank. The bank was found unconstitutional. Ultimately the case was appealed to the supreme court. A few arguments given consisting of: the branches are doing their job and no rules are being broken, the power is in the constitution are to be interpreted and expanded and it's strongest argument, the national bank is necessary and proper for the general well being. The supreme court ruled Congress had implied powers under the Necessary and Proper Clause of Article I, Section 8 of the Constitution to create

The Commerce Clause gives authority to the federal government to pass laws regulating anything that affects interstate commerce. Therefore if the state passes a law, that conflicts with the federal government, that law may be found unconstitutional under the commerce clause. For example Gibbons v. Ogden, a steamboat company starts securing licenses to navigate rivers. Their business takes off because they have monopoly. After disagreements, there two owners split, Gibbons goes to congress to secure a license, and breaks the monopoly. They take the issue to the supreme court. Daniel webster who argues for the federal government argues the rivers cross states and the government has power to regulate commerce between states. Finally, the court rules in favor of Gibbons, the supremacy is given to the national government. They establish it necessitie that the federal government is able to regulate commerce over