A federal system divides power between a national government and smaller local governments, allowing for shared authority and autonomy. In contrast, a unitary system centralizes decision-making and governance at the national level. This distinction impacts how laws are created and implemented and the extent of local governance. Federal systems often encourage a diversity of laws reflecting local desires and needs, promoting representation. Conversely, unitary systems typically enable faster policy enactment and simpler administration but may overlook regional variations, which can lead to discontent and calls for greater local representation.