Confederation

Due to its unique nature, and the political sensitivities surrounding it, there is no common or legal classification for the European Union (EU). However, it does bear some resemblance to both a confederation (a "new" type of confederation) and a federation. The EU operates common economic policies with hundreds of common laws, which enable a single economic market, open internal borders, a common currency among most member-states and allow for numerous other areas where powers have been transferred and directly applicable laws are made. However, unlike a federation, the EU does not have exclusive powers over foreign affairs, defence and taxation. Furthermore, laws sometimes must be transcribed into national law ___ _______ ______ ___ _________ _______ __________ ________ _____.
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