Abstract
This article uses two contrasting case studies, Canada and Germany, to illustrate how varieties of federalism evolve on diverging developmental pathways. Applying a historical institutionalist framework, the article explains how different forms of institutionalized relationships between governmental tiers grow out from early institutional alignments and become self-reinforcing. As federal institutional designs variously embody constraining and enabling elements, this institutional legacy has important consequences for the scope of entrepreneurial politics. Institutional variation, therefore, is likely to generate different adjustment paths in federal systems.
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