You must have heard the word 'government' mentioned several times. In this chapter you will learn about what a government is and the important role it plays in our lives. What do governments do? How do they decide what to do? What is the difference between different types of governments such as monarchies and democracies? very country needs a government to make decisions and get things done. These can be decisions about where to build roads and schools, or how to reduce the price of onions when they get too expensive or ways to increase the supply of electricity. The government also takes action on many social issues.