1

Before going into discussion of American Federal System, it is very

important to have a brief overview of the two systems of
government i.e. federal system and unitary system. In federal
system, power constitutes with the central government as well as
lower levels of the government whereas in unitary system power lies
within the central government. However the federal government
solely

treats

national

security,

foreign

affairs,

international

diplomacy and other matters of international affairs. Though most of

unitary system nowadays exists in dictatorship or monarchies but
democracy has no role to play in having a unitary government or
federal system. France though a democratic republic has unitary
system.
America consists of 50 states, which has different cultural values,
economic system as well as their ways of earnings. Though
federation evolved after its implementation in 1787 but it was after
civil war 1860-1865 when America took turn and gave more power
to its states for governing themselves. It helped in prosperity of
America as states can enact new laws, which are reasonable for
respective state.
American Federal System paved way for many other countries
around the world. Now we should look which power lies with whom;
federation or state in America. Federal government collect taxes,
devises Fiscal and monetary policy, maintains army and declaring
war, sets standards of weights, establishes post offices, grant
patents and copyrights, makes necessary laws to carry out the
above powers. Whereas state government conduct elections,
regulate commerce within the state, protect public health and
safety, and establish local governments. There are some concurrent
powers of federal as well as state are also in place like collecting
taxes, chartering banks and corporations, establishing courts and
making/enforcing laws. It is also necessary to discuss here that if
there arises any conflict between national government and state

government the federal government prevails.

References