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Federalism in Practice Jamie Monogan University of Georgia August 31, 2016 Objectives By the end of this meeting, participants should be able to: • Explain when it is beneficial to decide policy at the state level. • Describe the reasons why the states and the people have allowed the federal government's power to grow in the past century. 50 "Laboratories of Democracy" ● ● ● ● ● ● ● ● ● 40 ● ● ● ● 30 ● ● ● ● ● ● 20 Number of States With Lotteries ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● 10 ● ● ● ● ● ● ● ● 0 ● ● ● ● 1970 1980 1990 2000 2010 Year Louis Brandeis State Lottery Adoption Over Time Differing Needs and Preferences: What Shapes State Minimum Wage Laws? Source: http://www.bloomberg.com/view/quicktake/minimum-wages City Ordinances • San Francisco: $15.00 • Seattle: $15.00 • Chicago: $13.00 • Oakland: $12.25 • Los Angeles (hotel workers): $15.37 A Puzzle • The Constitution establishes a system of shared power between states and the federal government. • Why have the states and the American people allowed the federal government’s power to grow in the past century? Federalism as Solution to Collective Action Problems • The original problem: Funding the common defense • Incentives to pollute: Set national standards for environmental laws • Competition for industry can reduce tax base and worker protections (federal minimum wage) Other Reasons National Power Has Grown • Constitutional Changes – 16th Amendment: income tax – 17th Amendment: direct election of senators • National elections that focus on national problems/solutions • Supreme Court interpretation of vague points in the Constitution – How broad is the commerce clause? Assignments • For Friday: Read Bullock & Gaddie, Chapter 8 • Chapters 4-5 critical thinking exercise due at 11:59pm Wednesday. –Login to ELC to complete. • Also for Wednesday: Read Maltese, Pika & Shively, pp. 108-133 Additional Material Federal Influence on State Spending • Grants-in-Aid – General programs (e.g., infrastructure) • Categorical Grants – School lunches • Revenue Sharing – Interstate highways • Block Grants – 1995 welfare reform • Contrast: Unfunded Mandates – All Handicapped Children Act of 1975 Do People Get What They Want? Opinion Liberalism v. Policy Liberalism Future Day: Delegate v. Trustee Representation 6 CA NY MD DE NM 2 WV ME WAIL CO SC 0 MO IA −2 NE KS TX IN OK MS ND SD ID AL UT TNAR LA NC RI NJ NH MI OH PA WI AZ KY VA GA −10 CT OR MT −4 Public Policy Liberalism 4 MN VT MA NV WY FL 0 10 Public Opinion Liberalism 20 Air Polluters in Georgia 33 32 31 Latitude 34 35 White dots=solid waste. Black plus signs=air polluters. + ● + + ++ ● ● + + + + +●+● ● ● +●● ● ●● ● + + + ●● + + + ● + ● + +++ + + ++●●●+●● ● + ●+ ●+ ++++ +●●●+● ++● ++ ++ ● ●+ ● ● ++● +++●●+ ● + + +● ●+● ● + +●●● + ●● +●+●+● +●● + +● ++ ++ +●● ++ ●●● ● ●● + ● ●+ + ● + ● + ● + ● + ● ● ++ ● ●●●● ●● ++ ●● ● + ● + + ++● ●+ ● ●++ + ●+ ●+ ● + + + ●+ ●● + ++●+ ●● ●●●● ++ ++● ● + ●● ●+ ●+ ●+ + ● +●+ + ●+ + ●●●+ ●+ + +●+● ++● + + ●●● ●+ + ●+ + ++●● +●●●●+ ● ●● + + ++ +●● ++ + ● + + +● +●+● ++ ●●+ +● ●+ ● + ● +● ++ +●+ ++++ ++++++● ++ ++ ++ ●●+ ●● ●+ + + + +++ ++ ++●●+ + + ● +●+ + + + + + + + + ● + ●● + + ++ ● ++ ++● + ++ +++ ●+ ●+ ●● +++ ●+ ● + ● ++ + + + + + + + ● + + ● ● ●+ ●● ●●● ++ + + + ● + + ● ++ ● + ++++ + + + + ●●● + ●+ ++ ++++ ++ + ● +● ++ + ● + ● + ++● + + ● + +●●●+●● ● + +● ++ ●++ + + ●+ + ● + +●+●++ + + + + + ●+ ++●+● + +● + + ● + + ++ ++ + + ++ +● ●+ ●+ + + + + ● ● + ● ++ +●●++ + + ●● + +●+ ++● + + + +●● ++ + ● + +++●●● ++ ++ + + + + ++ + ● +●+ ● + + + ●+ + + ● ●● ●+ ++●●● + + + + + −85 −84 −83 Longitude −82 −81