Political institution is the organization which is responsible for formulation and execution of law. It also work as mediator to resolve conflict and formulate economic and social system policies. It is responsible for representing the general population. Political institution have impact on economy, education, culture and society. Political parties, trade unions, legislature and judiciary are the examples of political institutions. Political institution may also refer to the state norms under which the above mentioned organizations operate. Political institution also influences the economy and businesses. Unstable political environment have negative impact on economy, whereas, stable political environment bring peace and prosperity in the country.
Political institution include both politics and government. There are many political systems in the world however, the most eminent and applied systems are as follow, democracy, republic, communism, socialism, dictatorship and monarchy.
Democracy
In democracy people have the power to elect their representative and the head of state.
Republic
Republic is the political system which is close to democracy. In this system people choose their representatives and the representatives choose the head of state.
Monarchy
This is the type of political system in which one person rule over the country. That person is king or queen and he or she is not elected by the people but inherited the positing from his/her predecessor.
Communism
Communism is the system in which the head of state take ever decision but the resources of the country is equally distributed among the people and people cannot own private property everything belongs to the whole community, It’s a classless and moneyless system.
Dictatorship
It is an authoritarian system where a single individual rule the country without the approval of people.
Socialism
Socialism is the system in which the focus is on the benefit of whole society. The people have common ownership of the production based on the people needs and economic demand.