What is meant by 'federalism' in the context of U.S. government?

Federalism in the context of U.S. government refers specifically to the division of powers between national and state governments. This system is foundational to the structure of the United States, allowing for both levels of government to have their own areas of authority and responsibility.

Each level of government operates independently in certain areas, such as education, law enforcement, and transportation, while also having shared powers, like the ability to tax and regulate commerce. This division creates a balance that enables states to cater to local needs while still adhering to federal laws and regulations, emphasizing the unique relationship between the different levels of governance.

The presence of this dual structure is crucial for understanding how power is allocated and exercised in the U.S., as it prevents any single entity from exerting total control, thus promoting a system of checks and balances.