One of the oldest democracy on the world is in Switzerland! IMO it is the best system on the world! Each citizen of Switzerland has the right to vote, to vote on laws. Every citizen can collect signatures to start an initiative or a referendum! There are two parlaments, the Nationalrat and the Staenderat both are voted directly from the crowd! The government will be voted from the two parlaments and is build of seven ministers. Every year they change the president. IMO the only democracy that realy works on this planet!
http://en.wikipedia.org/wiki/Switzerland