What is the significance of Gibbons v. Ogden?

The significance of Gibbons v. Ogden lies in its pivotal role in expanding the power of Congress to regulate interstate commerce. In this landmark Supreme Court case decided in 1824, the Court ruled that the federal government had the authority to regulate interstate navigation and commerce, effectively asserting that this power exclusively belonged to Congress under the Commerce Clause of the Constitution. This ruling set a crucial precedent for the interpretation of federal powers, affirming that the federal government could intervene in business activities that crossed state lines, thereby fostering a more unified national economy.

Moreover, the decision clarified that states could not enact legislation that interfered with federal authority over interstate commerce. Thus, Gibbons v. Ogden reinforced the concept of a strong federal government and indicated that state laws could not impede the power of Congress when it comes to matters of interstate trade. The ruling significantly shaped the landscape of federalism by delineating the boundaries of state versus federal powers in regulating economic activities.