Federalism and Democratization: The United States and European Union in Comparative Perspective

There is an inherent tension between federalism and democracy. From the perspective of the constituent states that make up a federation, federalism constrains democracy because requirements of federal law may limit a state’s ability to adopt policies consistent with its citizens’ preferences. From the perspective of the federation as a whole, federalism constrains democracy because state governments may be in the position to block policies favored by majorities at the federal level. Federalism constrains majorities, and in this respect, it is clearly undemocratic. However, as theorists of federalism from Madison to Riker (1964) have argued, such constraints may be vital in protecting individual rights against the ‘tyranny of the majority’ and thus to safeguarding a central element of liberal democracy. This chapter examines the impact of federalism on the process of democratization in the United States and the EU. Much of the literature on democratization treats nondemocracy (e.g. authoritarianism) and democracy as dichotomous categories and examines the transition from the former to the latter. This chapter, by contrast, treats democracy as a category with continuous gradations (Elkins 2000) and defines democratization as a ‘continuous process of reforms and modifications of the institutions and practices in a given political regime, from fewer to more degrees of free and fair contestation and participation’ (King and Menon & Schain / Comparative Federalism 10-Menon-chap10 Page Proof page 221 9.6.2006 12:53pm