Referendums are direct votes in which the electorate decides on a specific proposal or policy, significantly influencing political decision-making. By allowing citizens to directly express their opinions on issues, referendums empower voters and can lead to significant changes in legislation, constitutional amendments, or public policy. They serve as a tool for democracy, enabling direct participation in governance. However, referendums can also be contentious, often leading to division and debates about the validity of public opinion on complex issues.