Federalism Questions
The concept of competitive federalism refers to a system in which different levels of government, such as states or provinces, compete with each other to attract businesses, investments, and residents. This competition is based on offering favorable policies, regulations, and incentives to encourage economic growth and development. Competitive federalism allows for experimentation and diversity in governance, as different regions can implement their own policies and approaches to address local needs and preferences. It also promotes accountability and efficiency, as governments are motivated to perform well in order to attract and retain businesses and individuals.