Which type of federalism, originating during the New Deal era, uses grants-in-aid to encourage cooperation between states and national goals?

Cooperative federalism is characterized by the collaboration between state and federal governments, particularly through the use of grants-in-aid that incentivize states to align their policies and programs with national objectives. This approach emerged prominently during the New Deal era as the federal government sought to address economic challenges through partnerships with states.

In cooperative federalism, the federal government provides financial assistance, notably in the form of categorical grants or block grants, to states, which then use these funds to implement programs that fit within federal guidelines. This system encourages states to collaborate with the national government, creating a network of intergovernmental relations, unlike dual federalism where powers are distinctly separated between state and federal authorities.

This collaboration is designed to achieve broader national goals while still allowing states some autonomy in how they implement programs, reflecting an integrative approach to governance and policy-making.