The party system significantly impacts law-making processes by shaping the dynamics of legislative negotiation and consensus-building. A multi-party system may facilitate diverse perspectives but can also complicate coalition-building, while a two-party system often leads to more streamlined, though polarized, decision-making. Furthermore, party unity and discipline can influence the degree to which legislation passes or fails, as party leaders prioritize their agenda. Overall, the structure and health of the party system play crucial roles in determining legislative outcomes.