Political system is the system of government in a nation. It shapes its economic and legal system. We need to understand the nature of different political systems before discussing economic and legal systems.
By political system we mean the system of government in a nation. Political systems can be assessed according to two dimensions.
The first is the degree to which they emphasize collectivism as opposed to individualism.
The second is the degree to which they are democratic or totalitarian.
Systems that emphasize collectivism tend to lean toward totalitarian, whereas those that place a high value on individualism tend to be democratic.
However, a large gray area exists in the middle. It is possible to have democratic societies that emphasize a mix of collectivism and individualism. Similarly, it is possible to have totalitarian societies that are not collectivist.