Concept: Two levels of government exist when power is divided between a central authority and regional or state governments.Explanation: In a confederal system, there are two levels of government: the central confederal government and the member-state governments. The central authority is weak and exercises only powers granted to it by the states. The member states remain sovereign and hold most political power. This makes confederalism different from a unitary system, where only one level of government exists.Answer: C. Confederal