What does the term 'devolution' refer to in the context of government?

The term 'devolution' specifically refers to the process of transferring powers and responsibilities from the national or federal government back to state or local governmental entities. This concept is central to discussions about the division of power in a federal system, where the goal is often to enhance local control and allow states to have greater autonomy in governance.

In the context of the choices, devolution is accurately captured by the idea of retiring power from the national government to state government. This reflects a belief that state governments can address local issues more effectively due to their closer proximity and familiarity with constituents' needs.

The other options involve scenarios where authority or power is either being expanded, transferred in the opposite direction, or imposed, which does not align with the fundamental principle of devolution. These concepts do not reflect the essence of devolution, emphasizing the specific transition of powers back to state governments, which is what makes the chosen answer the most accurate definition within the governmental context.