Federalism and the 10th amendment work together--the 10th Amendment states that if something is not covered by the Constitution and there is no specific federal power, then the power goes to the state.
Federalism is the principle that government should be divided between a central power and regional powers. In the case of the 10th Amendment, if the central power doesn't have explicit power to do something then the states have the power to do so.
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Thee of the main reasons why the Industrial Revolution occurred in America were because 1) there was a large labor force ready to work, 2) there were lots of coal and fossil fuel deposits that were used to power many of the engines in the factories, and 2) a democratic capitalist system was ideal for allowing businesses to thrive without much government oversight.
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