Confederal System Nations can choose to follow or not follow the lead of the weak central government. Examples: The Commonwealth of Independent States (CIS), formerly known as the Soviet Union. Also, Switzerland’s canton system and the Confederate States of America (1861-1865).

The basic difference is that confederalism is a system where the central government is always quite weak whereas in federalism the central government can be quite a bit stronger. They give whatever power they like to the national government.

The basic difference between a confederation and a federation is that each confederation member state is the holder of supreme power (sovereignty), whereas the federal units in a federal state have no such power, given the fact that sovereignty is exclusively vested in the federation (federal state).

The characteristics of confederations also are highlighted by distinguishing them from federations.

• No Authority to Legislate for Individuals.
• No Independent Revenue Sources.
• Sovereignty Retained by the Member States.
• Member-State Citizenship.
• Written Document.
• Expressly Delegated Powers.

Confederations are voluntary associations of independent states that, to secure some common purpose, agree to certain limitations on their freedom of action and establish some joint machinery of consultation or deliberation.

A confederation (also known as a confederacy or league) is a union of sovereign groups or states united for purposes of common action. Since the member states of a confederation retain their sovereignty, they have an implicit right of secession.

With the passage of time, weaknesses in the Articles of Confederation became apparent; Congress commanded little respect and no support from state governments anxious to maintain their power. Congress could not raise funds, regulate trade, or conduct foreign policy without the voluntary agreement of the states.