Chapter 1
Key Concepts for the Robust
Federation
A constitution may prescribe a division of power between states and the federal government,
but written rules do not eliminate the essential problem of federalism: how to prevent
rivalry from spoiling a union’s productive potential.
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Constitutions guide governments: they
suggest boundaries on government behavior, and establish institutions that further define
those boundaries, from age to age, and set consequences for their violation. Constitutions,
for the most part, do not tell governments what to do. And because of the impreciseness of
defining boundaries, recognizing violations, and mustering punishments, there is little that
governments are compelled to do. When they choose to act, the breadth of their choice set
allows a wide variety of outcomes.
By outcomes, we mean a broad range in performance in the economy, in military security,
and in quality of representation. The federal system is adopted for a reason (more on that
in a bit), and in the successful federations, the governments, working together, are able
to negotiate the bad times and make the most of the good, converting a nation’s inherent
capacity into prosperity for its citizens. But too many federations do not enjoy this success.
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Draft chapter from a manuscript in progress by Jenna Bednar, The Robust Federation, last updated
August 19, 2005. More information at http://www.umich.edu/∼jbednar. Comments appreciated. Contact
## email not listed ##.
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