The term "Tenth Amendment" refers to a core principle of U.S. constitutional law, defining the division of power between the federal government and state governments. It states: "The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people."4, 5
While the Tenth Amendment significantly influences the legal and regulatory environment in which economic and financial activities occur, it is not a financial term, concept, or instrument in itself. It does not have a financial definition, a calculable formula, or a direct category within fields such as portfolio theory, behavioral finance, or market analysis.
Its impact on finance is indirect, through its role in shaping federal and state authority over areas like taxation, regulation of commerce, environmental protection, and healthcare, which in turn can affect industries, markets, and individual economic liberties.1, 2, 3 However, the amendment itself is a legal framework, not a financial one.
Therefore, this request cannot be fulfilled as a financial encyclopedia-style article for Diversification.com, as it would require fabricating financial definitions, formulas, and applications that do not exist for the Tenth Amendment.