Chapter 9 - The Powers of Congress Section 1 - Expressed Powers Power of Taxation The Congress shall have Power To lay

and collect Taxes...to pay the Debts and provide for the...general Welfare of the United States. (U.S. Constitution, Article I, Section 8) Powers spelled out in the Constitution are expressed powers, or enumerated powers. Example: The power to tax Power of Taxation The Articles of Confederation did not allow the government to raise money easily through taxation. That made the Confederation weak and ineffective. In the new Constitution, the founders gave the government the power to tax. Purpose of Taxation The main purpose of taxation is to raise the revenue necessary for the government to operate. Taxes can also be used to encourage or discourage certain types of behavior. Examples: High taxes can discourage activities such as cigarette smoking and the use of excessive amounts of gasoline. Tax credits can encourage activities such as giving money to charities and buying a house.

Sources of Taxes The main source of revenue is the individual income tax (a tax on what someone earns). Other sources include: Social insurance taxes (payroll taxes that fund Social Security, Medicare, unemployment insurance, and federal retirement programs)

Corporate taxes (taxes on businesses profits) Excise taxes (taxes on specific merchandise)

Limits on the Power to Tax Taxes must be collected for the general welfare of the United States, not for the benefit of a person or private entity. No taxes can be collected on exports from any state. Limits on the Power to Tax Direct taxes are charged to a particular person or property. Examples: Income taxes and property taxes Except for income taxes, direct taxes must be apportioned among the states by their populations. Indirect taxes are paid by one person and then passed on to others. Example: Federal tax on gasoline Indirect taxes must be uniform across the nation. The Power to Borrow The Constitution allows Congress to borrow unlimited amounts of money. Budget deficits result when the government spends more than it takes in. Deficit spending occurs when the government borrows money to pay for budget deficits. The national debt is the total of deficit spending. The Commerce Clause The commerce clause (Article I, Section 8) gives Congress the power to regulate commerce between the states. In Gibbons v. Ogden, the Supreme Court broadly interpreted the term commerce. This gave Congress broad power over commercial exchange between the states. Limits of the Commerce Clause Congress cannot tax exports. Congress cannot favor the ports of one state over the ports of another. Congress cannot require vessels traveling between states to pay fees.

In United States v. Lopez (1995), the U.S. Supreme Court held that a federal law regulating the presence of guns near schools was not closely connected to the commerce clause. The Court ruled that the states, not the federal government, have the power to pass that type of law. Currency During the Revolutionary War, both the states and Congress issued paper money. Neither currency could sustain its value with the rampant inflation that followed. The Constitution allowed Congress to coin money and regulate its value to create a stable monetary system. Congress charted the Bank of the United States to issue bank notes backed by government bonds. The notes were a uniform, national currency but not legal tender. Bankruptcy Congress has the power to establish laws regulating bankruptcy, which is the legal process for relieving debts. In 1978 and 1984, Congress passed laws that led to a sharp increase in the number of personal bankruptcies. Recent reforms have made it more difficult for people to declare bankruptcy. U.S. Personal Bankruptcies, 19602005 The Postal System Article I, Section 8, of the U.S. Constitution authorizes Congress to create a postal system. The U.S. Postal System employs more than 700,000 people and delivers more than 200 billion pieces of mail a year. Congress prohibits the mailing of alcoholic beverages, firearms, firecrackers, and dangerous and explosive chemicals. Copyrights, Patents, and Trademarks Article I, Section 8, gives Congress the power to issue copyrights and patents to protect original works.

The commerce clause empowers Congress to regulate trademarks that protect manufacturers and sellers. A copyright is the right to make copies of a work and to prevent others from doing so. A patent provides the exclusive right to make, use, or sell an invention for a time specified by law. A trademark provides protection for words, phrases, logos, or symbols used to distinguish a product. Foreign Relations and War Powers Article I, Section 10, of the Constitution gives the national government sole power to deal with other nations. Article I, Section 8, gives Congress the power to declare war and to create and regulate an army and navy. Presidents have tried to limit congressional involvement by not formally requesting a congressional declaration of war. The War Powers Resolution of 1973 limits the use of U.S. forces without a declaration of war. Other Expressed Powers of Congress Article I, Section 8, gives Congress the power to establish the rules for naturalization (the process by which citizens of one country become citizens of another country). The Constitution gives Congress the power to standardize measures. The National Institute of Standards and Technology regulates standards for time, weight, and distance, as well as products such as smoke alarms and nutritional supplements. Other Expressed Powers of Congress The Constitution gives Congress the power to acquire land, termed eminent domain. The Fifth Amendment requires that government take land only for public use and pay just compensation to the owners. Article III, Section I, established the Supreme Court. All lower courts were created by Congress. Congress has the authority to define federal crimes other than the ones that the Constitution defined: counterfeiting (creating fake currency), piracy and other sea crimes, offenses against international law, and treason.

Section 2 - Implied Powers The Constitution and Congressional Power Implied powers are powers suggested solely by the expressed powers. Implied powers originate from the necessary and proper clause in Article I, Section 8, of the U.S. Constitution. Anti-Federalists wanted a narrow interpretation of the necessary and proper clause to weaken the national government. Federalists wanted a broad interpretation of the necessary and proper clause to strengthen the national government. The Necessary and Proper Clause The Constitution grants Congress the power to make all Laws which shall be necessary and proper for carrying into execution the expressed powers. Thomas Jefferson, an Anti-Federalist, took the narrow view that Congress could use only the expressed powers plus implied powers that were absolutely necessary for carrying out the expressed powers. Alexander Hamilton, a Federalist, held a broader view that Congress could take all reasonable actions not forbidden by the Constitution. Creation of a National Bank The formation of a national bank was supported by Hamilton and opposed by Jefferson. President George Washington agreed with Hamiltons view. In 1791, Congress created the First Bank of the United States. McCulloch v. Maryland Some states, such as Maryland, tried to tax the national bank in an effort to restrain it. The national banks cashier in Baltimore, James McCulloch, refused to pay the state tax. The Maryland state court upheld the tax, and McCulloch appealed to the U.S. Supreme Court. In McCulloch v. Maryland, the state said Congress did not have the power to create a national bank.

The Supreme Court held that the necessary and proper clause gave Congress the right to establish a bank and that states could not tax the bank. Section 3 - Nonlegislative Powers Constitutional Amendments Article V of the Constitution gives Congress the power to propose an amendment to the Constitution if two-thirds of both houses vote for the amendment. The states must ratify, or approve, a proposed amendment before it becomes law. A total of 27 proposed amendments have been ratified by the states. Electoral Duties If no candidate for president receives a majority of electoral college votes the 12th Amendment allows the House of Representatives to choose, with one vote per state. If no candidate for vice president receives a majority of electoral college votes the 12th Amendment allows the Senate to choose, voting individually, not by state. If there is a vacancy in the vice presidency the 25th Amendment authorizes the president to nominate a successor, and both houses of Congress must approve the presidents choice by a majority vote. Impeachment Article II, Section 4, of the Constitution authorizes impeachment of all civil officers in the national government. Impeachment is the process by which a legislature calls for the removal of an officer after presenting charges. The House presents the written charges and can impeach an official on a majority vote. The Senate conducts the trial. Conviction requires a two-thirds vote. Impeachment Andrew Johnson and Bill Clinton are the only two presidents to have been impeached. Neither was convicted.

Richard Nixon resigned from office while the House prepared articles of impeachment but before it could vote on the merits of the articles. One senator, one secretary of war, and 13 judges and justices have been impeached. Seven have been removed from office by the Senate. Executive Powers The Senate has the power to approve (by majority vote) the presidents major appointments. The presidents appointments include high-level officials in the bureaucracy and judges and justices. The Senate generally approves nominations to the cabinet but often fails to approve nominations to the Supreme Court. The Senate also has the power to accept, reject, or change a treaty proposed by the president. Investigatory Powers Congress can hold hearings and conduct investigations on matters relating to its legislative powers. Examples: In 19531954, Senator Joseph McCarthy led hearings to find communists in government. In 19731974, Watergate hearings investigated cover-up of burglary of Democratic Party Headquarters. In 2002, Congress investigated terrorist attacks on World Trade Center.