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Relations between the states during the federal period

Federalist Papers

Under the Confederation, the states are at once partners in a common political undertaking and separate governments with incentives to protect immediate local interests. The essays depict that relationship as structurally unstable: state-by-state collection and regulation make common policy difficult to execute, while competing trade interests can turn neighbors into adversaries. Their proposed remedy is a Union able to raise revenue and establish common rules directly, paired with institutions that clarify who exercises power and who answers for it.

Shared Government and the Problem of Compliance

The central weakness is not simply disagreement over a particular measure but the requirement that thirteen distinct sovereign wills concur before an important Union policy can be carried into effect. Under the Confederation, national measures depend on the intervention of the separate state administrations. State rulers can judge each proposal according to immediate interests and conveniences, doing so without the national knowledge needed to assess the consequences for the Union as a whole. Since each legislature deliberates at a distance, at a different time, and under different impressions, cooperation cannot be assumed merely because common councils have agreed on a plan.

That structure turns unequal compliance into a self-reinforcing process. When some states fall short of their obligations, their defaults give more compliant states both an example and an incentive to withhold their own support: no state wishes to bear more than its share while others contribute less. One state after another yields to immediate interest or convenience. The resulting failure is cumulative: the measures of the Union go unexecuted, state delinquencies grow extreme, and the national government is left scarcely able to maintain even the forms of administration while a more substantial substitute is sought.

The essays also identify a basic fiscal mismatch. Direct taxation has proved impracticable on a considerable scale: multiplying tax laws and trying new methods of collection have not prevented state treasuries from remaining empty. A languid, fragmented trade leaves money scarce, while the popular character of state administration makes extensive direct collections difficult to sustain. In the argument, this is not merely a matter of inadequate revenue totals. It demonstrates that a system relying on separate state decisions cannot reliably supply the common treasury.

Quotas do not solve the problem by assigning each state a formally defined share. No single standard—whether the value of land or the number of people—accurately measures a state’s ability to contribute. The comparison between Virginia and North Carolina, Pennsylvania and Connecticut, or Maryland and New Jersey shows how little population or land value may correspond to the revenue a state can actually provide. The example of King’s County and Montgomery County makes the point within New York: even within one state, active wealth does not follow neatly from either population or total land value. A quota rule can therefore claim equality while misrepresenting capacity, compounding the difficulty of obtaining an adequate common supply.

Revenue, Trade, and the Case for Common Rules

The proposed Union’s fiscal case begins with the functions that require funding. The national government must be able to support military forces, including the raising of troops and the building and equipping of fleets; it must also meet civil expenses, pay national debts, and cover other disbursements from the treasury. A government responsible for those tasks cannot depend on a revenue system that leaves its means contingent on the repeated consent of separate administrations. In the essays’ formulation, money sustains the body politic: without a regular and adequate supply, public needs invite plunder or government sinks into decay.

Because direct levies are difficult and intrusive, duties on consumption and commerce are presented as especially important sources of revenue. Union is said to foster trade and make the collection of duties simpler and more effective. A common system could make a given rate more productive and permit an increase in the rate without injuring trade. This links national revenue to the character of relations among the states: the fiscal benefit depends not only on what is taxed, but on whether neighboring jurisdictions can frustrate one another’s rules.

The danger of fragmented commercial authority follows from geography and ordinary intercourse. Rivers, bays, easy communication, and familiar language and manners make illicit trade between neighboring states difficult to prevent. If each state or confederacy sets its own duties, mutual jealousy gives it reason to keep them low to avoid encouraging evasion; yet the Union’s political temper is not suited to the rigorous land and water controls by which European governments attempt to guard their borders. Separate regulation thus risks both weakened revenue and persistent circumvention.

Interstate trade raises a related but distinct danger: states through which goods pass may impose charges on the imports and exports of their neighbors. The proposed commerce power is meant in part to protect states that depend on other states’ routes to foreign markets from such intermediate exactions. If transit jurisdictions could freely tax passing goods, those charges would burden producers and consumers elsewhere. The injured states would have reason, from resentment as well as self-interest, to seek less convenient trade routes, while commercial states would be tempted by immediate gain. The predicted result is not simply an unfair toll; it is recurring interstate animosity and a possible interruption of public tranquillity.

Comparative examples show how common authority can restrain that temptation, even where its practical strength varies. In Switzerland, a canton must allow merchandise to pass through its jurisdiction to another canton without increasing the tolls. In the German Empire, princes and states are barred from placing tolls or customs on bridges, rivers, or passages without the consent of the emperor and the diet, though the essays note that practice has failed to follow the law and produced the anticipated mischiefs. The United Netherlands likewise restrains members from establishing imposts disadvantageous to their neighbors without general permission. These examples support the case for supervision of reciprocal trade while also showing that a rule on paper may fail when enforcement is weak.

Coordination Beyond Customs

Commercial relations are only one part of the proposed coordination. The essays group among the powers promoting harmony and proper intercourse between states the regulation of commerce among the states and with Indian tribes; the coinage and valuation of money; penalties for counterfeiting United States coin and securities; common standards of weights and measures; uniform rules of naturalization and bankruptcy; recognition of each state’s public acts, records, and judicial proceedings; and the establishment of post offices and post roads. Together, these provisions address the practical frictions that arise when neighboring jurisdictions use incompatible rules or refuse to give effect to one another’s public acts.

The Confederation’s treatment of trade with Indian tribes is criticized for restrictions that are obscure and contradictory. Its authority is limited to tribes that are not members of any state, while also being forbidden to infringe a state’s legislative rights within its own limits. Yet the boundary between Indians considered members of a state and those who are not has remained unsettled and a source of repeated difficulty in federal councils. The text also questions how an external authority could regulate trade with people living inside a state’s jurisdiction without intruding on that state’s legislative rights. The contradiction exemplifies the deeper design problem: the Confederation tries to preserve complete state sovereignty while granting the Union only partial sovereignty, and thereby leaves shared responsibilities indeterminate.

The proposed restrictions on state authority over imports and exports attempt to balance local discretion with national supervision. A state may, without congressional consent, impose only those duties absolutely necessary to execute its inspection laws; the net proceeds of those duties go to the United States Treasury, and Congress may revise and control the laws. The same constitutional passage bars states, absent congressional consent, from levying tonnage duties, maintaining troops or ships of war in peacetime, making agreements with other states or foreign powers, or engaging in war except in specified emergencies. On imports and exports, the stated design is neither total state incapacity nor unreviewable local power: states retain a limited means to provide for practical needs, while the Union can check abuse.

Federal Authority, State Power, and Accountability

The essays present common authority as a response to the limits of state-by-state action, not as a reason to erase all state government. The general taxing power is defended because national military, civil, and debt obligations require revenue, while the states remain important governments in their own right. The argument’s emphasis is on supplying the Union with authority commensurate with its responsibilities: if national decisions must be implemented by separate administrations, each administration can reconsider them through the lens of local convenience, and the common decision becomes vulnerable at every point of execution.

That concern connects the relation among states to the wider problem of controlling government. The essays argue that a constitutional structure must give each department both the means and the personal motive to resist encroachments by the others. The people remain the primary control, but experience also requires auxiliary precautions: power must check power, and the interests of officeholders must be tied to the constitutional rights of their positions. This logic applies to interstate coordination as well. A Union cannot rely on goodwill alone when the incentives of individual governments repeatedly favor withholding support or imposing costs on neighbors.

The same concern with responsibility appears in the contrast between a single executive and a plural one. If executive authority is divided among several magistrates, blame for a harmful measure can be shifted through mutual accusations until the public cannot identify its author. By contrast, when the President makes a nomination and the Senate must judge it, the actions of both actors become more visible: blame for a bad nomination falls on the President, rejection of a good one on the Senate, and approval of a bad appointment implicates both. This comparison does not describe a new interstate rule, but it reinforces the essays’ larger institutional principle: shared power requires arrangements that expose decisions and identify responsibility, rather than allowing each participant to evade accountability.

Representation supplies another connection between local constituencies and common government. Federal representatives are to be elected by the broad body of the people, the same electors who choose the corresponding branch of their state legislatures; no qualification of wealth, birth, religion, or civil profession is to restrict the people’s choice of representatives. Those elected to federal office are presumed to possess qualities meriting their constituents’ confidence, and the honor and favor of election are treated as incentives to serve them faithfully. In this account, the Union is not simply a bargain among state governments: its federal representatives also stand in a direct relationship to the people.

Significance of the Interstate Relationship

The essays’ account of the states’ relationship rests on a recurring contrast between immediate advantage and durable common interest. Local governments may have good reasons, from their own perspective, to resist a national requisition or profit from a neighbor’s dependence on its trade routes. But once every state calculates separately, public revenue fails, commercial rules invite evasion or retaliation, and national policy loses the means of execution. The resulting disorder is not presented as an accidental lapse in cooperation; it follows from a structure that makes cooperation depend on repeated discretionary decisions by governments with competing interests.

The proposed Union therefore changes the terms of interstate relations by placing selected common responsibilities under national authority. Shared rules for trade, revenue, standards, records, and public communication are meant to reduce the opportunities for one state to obstruct or exploit another. At the same time, the insistence on limited state discretion, constitutional boundaries, popular election, and visible responsibility frames coordination as an institutional settlement rather than an unlimited transfer of power. The decisive claim is that a common political undertaking can endure only when the states’ interdependence is recognized in law and matched by authority capable of acting for the whole.