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Canada’s political structure is fundamentally federal, with a division of powers between the national government and the provinces and territories. This federal framework has its roots in the Constitution Act of 1867, which laid out the allocation of legislative, administrative, and fiscal responsibilities. Intergovernmental relations and fiscal federalism form the twin pillars that sustain this system, shaping policy coordination, economic redistribution, and political negotiation across different levels of government. The functioning of intergovernmental and fiscal federalism in Canada is therefore central to understanding the country’s governance and social cohesion. Intergovernmental federalism in Canada involves the coordination, negotiation, and sometimes contestation between the federal government and the provincial and territorial governments. This system relies heavily on dialogue and institutional arrangements rather than strict hierarchical control. Unlike a unitary state, where the central government dominates, Canadian federalism requires a cooperative approach due to the constitutional division of powers. For example, the federal government has authority over areas such as national defense, foreign affairs, and trade, while provinces control education, health care, and natural resources. Despite these clearly defined jurisdictions, overlapping responsibilities and shared concerns make intergovernmental collaboration essential. One prominent mechanism facilitating intergovernmental relations is the Council of the Federation, established in 2003. This forum allows provincial and territorial leaders to coordinate policies, share ___ _______ _____ _________ ______ ______ __________.
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