Which of the following statements best describes how popular sovereignty applies to federalism?

the answer is the third option the people  elect local goverment representatives, who gather to make federal laws.

explantion : I did this already!

British raj, period of direct British rule over the Indian subcontinent from 1858 until the independence of India and Pakistan in 1947. The raj succeeded management of the subcontinent by the British East India Company, after general distrust and dissatisfaction with company leadership resulted in a widespread mutiny of sepoy troops in 1857, causing the British to reconsider the structure of governance in India. The British government took possession of the company’s assets and imposed direct rule. The raj was intended to increase Indian participation in governance, but the powerlessness of Indians to determine their own future without the consent of the British led to an increasingly adamant national independence movement.