Final answer:
The national government influences state powers through Fiscal Federalism, using federal funding to shape state policies. The U.S. Constitution, alongside Supreme Court decisions, determine the federal-state power balance, while both government levels share concurrent powers such as taxation.
Step-by-step explanation:
The national government can influence how states use their powers primarily through Fiscal Federalism, which encompasses federal funding, taxation, and assistance to steer state policies. For instance, federal highway funds have been utilized to influence state regulations regarding seat belt usage, speed limits, and DUI laws. This aligns with a more extensive federal role in creating a coordinated national transportation system. Meanwhile, states maintain sovereign powers but also share certain powers with the federal government, like the power to tax, known as concurrent powers. Over time, the balance of power has shifted, with states sometimes gaining discretion, as seen with the welfare reform in 1996, allowing states more control over welfare program implementation.
Moreover, the U.S. Constitution and the U.S. Supreme Court play pivotal roles in determining the balance of power between federal and state government. Past federal strategies have included land grants, supporting infrastructure projects and universities. States also have the power to enact public policy that reflects regional cultural distinctions, while tensions between national and state policy-making continue to evolve.