Federalism lies at the heart of Canadian politics. The decision to create a federal state in 1867 was a pragmatic response to the country’s size, diversity, and political divisions. Provinces wanted to preserve control over local affairs, while the central government sought national unity and defense. The result was a Constitution that divided powers between two levels of government, each sovereign in its own sphere.
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Under the Constitution Act of 1867, Ottawa was given authority over national matters such as defense, trade, currency, and criminal law, while provinces retained jurisdiction over education, health care, and local governance. Over time, this division of powers has been contested and reinterpreted through constitutional amendments, judicial rulings, and political negotiations.