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Commerce Clause

Definition

A provision of the U.S. Constitution (Article I, Section 8) that gives Congress exclusive power over trade activities among the states and with foreign countries and Indian tribes.

Analogy

Think of each state as a separate store within a large shopping mall. While each store can set its own rules internally, there needs to be some overarching rules for things like opening hours, sales promotions etc., which affect the entire mall. This is what the Commerce Clause does - it provides an overarching rule for trade activities among different 'stores' or states.

Related terms

Interstate Commerce: Trade between two or more states which can be regulated by federal government under the commerce clause.

Intrastate Commerce: Trade occurring within one state which cannot be regulated by federal government unless it affects interstate activity.

Supremacy Clause: Part of Article VI of the Constitution stating that all laws made furthering the Constitution and all treaties made under authority of United States are supreme law of land.



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AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.