Although federation and confederation are derived from the same I atin root, yet they are quite different forms of organising the States. A ton federation may be defined as a group or association of two or more sovereign States which have permanently given up part of their liberty for some specific aims and objects, such as defence. A confederation is stronger Ilian an alliance between sovereign States, but weaker than a federal union. A confederation does not put an end to the sovereignty of the confederated Slates, as a federation does. It is a union of States and not a united State as a federation is. German words explain the distinction between a confederation mid a federation very clearly. A federation is a Bundes-staat, a united State, while a confederation is a Staatenbund i.e., the union of States.
A federation must be clearly distinguished from a confederation. Wr point out here some of these distinctions as follows:
A confederation is a league of sovereign States while a /nitration is a single sovereign State. A confederation is much looser in (Hjinnisation than a federation. In a federation the former sovereign States become integral parts or component units of a new State, while there is no •in It integration in a confederation. The confederated States retain their Identity and separate entity. But they lose it completely when they federate into a new State. In other words, the confederated States retain their sovereignties, while the federating States renounce their individual sovereignties when they enter into a federal union.
Confederation is based on contract, and federation on constitution. The confederate States enter into an alliance based on an agreement, but the federated States are united by a constitution. It means that any one of the confederated States can withdraw from the alliance, but none of the federated units can do so, as they have lost their sovereign entity in a new union. In other words, confederation recognises the right of secession, but a federation does not. Withdrawal from a confederation is legal, while from a federation it is revolutionary.
A confederation has no central government. A confederation has only a committee or congress of delegates from various confederated States, who meet to vote by States and under instructions from their governments. Their decisions are not laws but only resolutions. In a federation, there is a central government with its own powers, organisation and machinery, consisting of representatives from various component units, who make laws, and adopt a policy, which are executed by its own officials over the whole country.
Citizenship. In a confederation, the citizens of the confederate States retain their citizenship. They do not become citizens of the confederation, but in a federation, they become the citizens of the federal State. Hence in a confederation, they obey only the laws of their own State and not of the confederation, while in a federation they obey the laws of the central government also.