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Subsidiarity is a principle of social organization that originated in the "Roman Catholic Church. In its most basic formulation, it holds that social and political issues should be dealt with at the most immediate (or local) level that is consistent with their resolution. The "Oxford English Dictionary defines subsidiarity as, "the principle that a central authority should have a subsidiary function, performing only those tasks which cannot be performed at a more local level." The concept is applicable in the fields of government, "political science, "neuropsychology, "cybernetics, management and in military command ("mission command). Subsidiarity is a general principle of "European Union law and it, coupled with another "Christian democratic principle, "sphere sovereignty, led to the creation of "corporatist welfare states throughout the world.
"Alexis de Tocqueville's classic study, "Democracy in America, may be viewed as an examination of the operation of the principle of subsidiarity in early 19th century America. De Tocqueville noted that the French Revolution began with "a push towards decentralization... in the end, an extension of centralization." He wrote that "Decentralization has, not only an administrative value, but also a civic dimension, since it increases the opportunities for citizens to take interest in public affairs; it makes them get accustomed to using freedom. And from the accumulation of these local, active, persnickety freedoms, is born the most efficient counterweight against the claims of the central government, even if it were supported by an impersonal, collective will."
As "Christian Democratic political parties were formed, they adopted the Catholic social teaching of subsidiarity, as well as the "neo-Calvinist theological teaching of sphere sovereignty, with both Protestants and Roman Catholics agreeing "that the principles of sphere sovereignty and subsidiarity boiled down to the same thing."
Will the American people never learn that, as a principle, to expect swift response and efficiency from government is fatuous? Will we never heed the principle of subsidiarity (in which our fathers were bred), namely that no public agency should do what a private agency can do better, and that no higher-level public agency should attempt to do what a lower-level agency can do better – that to the degree the principle of subsidiarity is violated, first local government, the state government, and then federal government wax in inefficiency? Moreover, the more powers that are invested in government, and the more powers that are wielded by government, the less well does government discharge its primary responsibilities, which are (1) defence of the "commonwealth, (2) protection of the rights of citizens, and (3) support of just order.
The "United Nations Development Programme's 1999 report on decentralisation noted that subsidiarity was an important principle. It quoted one definition:
Decentralization, or decentralising governance, refers to the restructuring or reorganisation of authority so that there is a system of co-responsibility between institutions of governance at the central, regional and local levels according to the principle of subsidiarity, thus increasing the overall quality and effectiveness of the system of governance, while increasing the authority and capacities of sub-national levels.
According to Richard Macrory, the positive effects of a political/economic system governed by the principle of subsidiarity include:
He writes that the negative effects of a political/economic system governed by the principle of subsidiarity include:
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Subsidiarity is perhaps presently best known as a "general principle of European Union law. According to this principle, the EU may only act (i.e. make laws) where action of individual countries is insufficient. The principle was established in the 1992 "Treaty of Maastricht. However, at the local level it was already a key element of the "European Charter of Local Self-Government, an instrument of the "Council of Europe promulgated in 1985 (see Article 4, Paragraph 3 of the "Charter) (which states that the exercise of public responsibilities should be decentralised). Subsidiarity is related in concept to, but should not be confused with, the concept of a "Margin of appreciation.
Subsidiarity was established in EU law by the "Treaty of Maastricht, which was signed on 7 February 1992 and entered into force on 1 November 1993. The present formulation is contained in Article 5(3) of the "Treaty on European Union (consolidated version following the "Treaty of Lisbon, which entered into force on 1 December 2009):
Under the principle of subsidiarity, in areas which do not fall within its exclusive competence, the Union shall act only if and in so far as the objectives of the proposed action cannot be sufficiently achieved by the Member States, either at central level or at regional and local level, but can rather, by reason of the scale or effects of the proposed action, be better achieved at Union level.
The "Court of Justice of the European Union in Luxembourg is the authority that has to decide whether a regulation falls within the exclusive competence of the Union. As the concept of subsidiarity has a political as well as a legal dimension, the Court of Justice has a reserved attitude toward judging whether EU legislation is consistent with the concept. The Court will examine only marginally whether the principle is fulfilled. A detailed explanation of the legislation is not required; it is enough that the EU institutions explain why national legislation seems inadequate and that Union law has an added value.
An example is the judgement of the Court of Justice of the European Union in a legal action taken by the Federal Republic of Germany against the European Parliament and the Council of the European Union concerning a Directive on "deposit guarantee schemes (13 May 1997). Germany argued that the Directive did not explain how it was compatible with the principle of subsidiarity. The Court answered:
According to the "Oxford English Dictionary, the term "subsidiarity" in English follows the "German usage Subsidiarität (1809 or earlier in legal use; 1931 in the context of Catholic social doctrine, in §80 of Rundschreiben über die gesellschaftliche Ordnung (""Circular letter [idiomatic English: 'encyclical'] concerning the societal order"), the German version of Pope Pius XI's encyclical "Quadragesimo anno (1931))". More distantly, it is derived from the "Latin verb subsidio (to aid or help), and the related noun subsidium (aid or assistance). The concept as discussed here was first described formally in "Catholic social teaching.
The Christian democrats promoted a corporatist welfare state, based on the principles of the so-called "sphere sovereignty" and "subsidiarity" in social policy.
When the Dutch Protestant and Catholic parties combined, to form the Christian Democrats, the two parties agreed that the principles of sphere sovereignty and subsidiarity boiled down to the same thing.
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