A theocracy is a form of government in which religious leaders control the state, and the laws are based on religious principles. In this system, the authority of the government is derived from a divine source, and political leaders are often seen as representatives of a deity. This can lead to a blending of religious and political power, where the state enforces religious laws. In a theocracy, citizens may have limited freedom to practice other religions or express differing beliefs. Examples of theocracies include Iran, where the Islamic clergy holds significant power, and Vatican City, governed by the Pope.