According to Merriam Webster Dictionary, Federalism refers to a political system that allows existence of a superior stage made up of a group of states. The smaller states are allowed to maintain their identities and therefore the larger state can be seen as not centralized. This is emphasized by the idea that each of the federal states has its own constitution. Similarly, there is a constitution under the state government to define how the federal states are to conduct their governance to ensure regulation and order. In this sense, federalism as a form of government is created by a constitution as a written agreement forming a central government and distributing its powers to regional governments.
Federalism exercises power sharing especially in regard to certain socio- economic issues. It emphasizes on neutrality, equity and unity rather than differences and division. From the central government nationalism is encouraged. The members of the federal states are citizens of national state. The law making process takes strength and the national scope rather that the regional states.
Federalism is a form of governance that is characterized by exercising of powers from two levels. Nevertheless, there is central power that extends to every region of the country or federation. On the other hand, the authority at every region has lower power only confined to that region. For example, if one federal government allows high compensation in regard to poor quality commodity sold, the compensation cannot be sought in a different state. This is unless the state law allows the same and the case is solved from the state level.
United States of America is popular for the form of governance. It is also exercised in countries like Germany, Nigeria and Brazil. Federalism is about federation where there are federal states that are subordinate to a central power. The central government is the one that is recognized at the international level to represent the rest. On the other hand, non centralization exists since the different federal states have their own constitutions.