A confederation is a political union of sovereign states united for purposes of common action. It is usually created by a treaty and established for dealing with critical issues, such as defense, foreign relations, internal trade, or currency, with the central government being required to provide support for all its members. Confederations are a main form of intergovernmentalism, defined as any form of interaction around states that takes place on the basis of sovereign independence or government.
In a confederation, each state is independent and has its own authority and autonomy, but they come together for some sort of shared government. The governmental system of a confederation usually includes representatives from each state who serve in a common or central legislature. The central government usually works together to address issues that affect all of the members of the confederation, such as maintaining peace treaties, organizing mutual defense, proposing laws, and implementing policies that impact the confederation. However, the central government is usually limited in its authority, and the individual states retain maximum authority.
Confederations are voluntary associations of independent states that agree to certain limitations on their freedom of action to secure some common purpose. They usually fail to provide for an effective executive authority and lack viable central governments. Members are generally accorded equal status with an acknowledged right of secession from the confederation. Historically, confederations have often proved to be a first or second step toward the establishment of a national state, usually as a federal union.
