Which statement explains the principle of federalism? federalism refers to the division of governmental powers between the national and state governments. the founding fathers created a federal system to overcome a tough political obstacle. they needed to convince independent states to join together to create a strong central government. writing to george washington before the constitutional convention, james madison considered the dilemma. he said that establishing “one simple republic” that would do away with the states would be “unattainable.” instead, madison wrote, “i have sought for a middle ground which may at once support a due supremacy of national authority, and not exclude [the states].” federalism was the answer. under federalism, both state and national governments may directly govern through their own officials and laws. both levels of government derive their legitimacy from the constitution, which endows each with supreme power over certain areas of government. both state and federal governments must agree to changes in the constitution. both exercise power separately and directly over the people living under their authority, subject to the limits specified in the u. s. constitution, the supreme law of the country. the constitution and acts of the national government that conform to it are superior to constitutions, laws, and actions of state and local governments. in the american federal system, the national (federal) government has certain powers that are granted only to it by the constitution. the 50 state governments also have powers that the national government is not supposed to exercise. for example, only the federal government may coin money or declare war. only the state government may establish local governments and conduct elections within the state. some powers are shared by both federal and state governments, such as the power to tax and borrow money. some powers are denied to the federal and state governments, such as granting titles of nobility and passing bills of attainder. in the american federal system, the powers of the national government are limited. however, within its field or range of powers, the national government is supreme. the states can neither ignore nor contradict federal laws and the constitution. the core idea of american federalism is that two levels of government (national and state) exercise power separately and directly on the people at the same time.