This insightful and authoritative two-volume set examines the major issues and theories concerning federal political systems. The book covers the two main branches in the economics literature. The first branch, on competitive federalism focuses on the horizontal structure of federalism, as well as examining the jurisdictional competition between state and governments for mobile individuals and resources. The second branch focuses on fiscal federalism and examines the vertical structure of federalism, or the division of public services and taxing power between central and state governments. This comprehensive set also examines applications of the economic analysis of federalism in specific areas of the law, including: corporate law; antitrust law; environmental law; choice of law rules; contractual choice of law and public choice theory. It will be of interest to economic and legal scholars alike.