The Advantages of Federalism

Unlike federal officials, far removed from the consequences of their legislation, governors and state legislators are more closely connected, attached, and dependent on their constituents. Therefore, if their voters are not happy, state-side politicians will never hear the end of it.

This principle is the principal reason why legislation that affects the business and commerce of the several states must originate within the several states. Federal legislation must touch on the limited enumerated powers of the Constitution, nothing more.

Anything beyond that risks upsetting the delicate balance of power and freedom which every state alone is entitled to determine for themselves.

Also, as Governor Perry remarked in an interview with Glenn Beck, each state can serve as a laboratory for different economic and political strategies and policies. The states of Massachusetts and Tennessee, for example, have already implemented a state mandate for health insurance akin to ObamaCare. Tennessee has since regretted enacting such a measure.

Ten states originally authorized undocumented immigrants to obtain driver's licenses. Seven states have already repealed their respective laws, with New Mexico about to be the eighth. According to the rough experience of those states which repealed the law, the number of undocumented immigrants coming from other states to take advantage of the law far exceeded the number of residential permits. Safety concerns were not resolved either, as many motorists not attached to this country by citizenship saw no reason to get auto insurance, either.

As an experiment in reaching out to a population in the shadows, licenses for illegal immigrants ended up creating more problems than it solved. Imagine of the federal government had instituted a similar proviso for the entire country, and the havoc that would have ensured. Worse yet, repealing a repugnant federal law is far more difficult than for one state legislature to enact a repeal of its own laws.

When it comes to experimenting with lower business taxes, less regulation, no state is more competitive than North Dakota, followed by Texas, two states which have added jobs during the Great Recession. Delaware and New Hampshire refuse to impose a state sales tax, which invites more consumers from surrounding states. New Jersey has learned the hard way that by raising taxes on consumers, homeowners, and businesses, revenue flees the state in larger number. Yet unlike New Jersey, the state of California has not deregulated its reach into the marketplace, nor has it enacted necessary tax cuts to spur growth and consumption.

When citizens and legal immigrants vote with their feet where they choose to live, states that lose population can learn from those states who have gained, and adopt those policies which have made them more inviting. Governor Perry admitted as much during his interview with Glenn Beck, and he was right on.