Monarchies are ruled in theory by a King or a Queen, or by both. The position of monarch is hereditory according to really complicated rules depending on whose country it's in.

Monarchies tend to actually be governed by democratic means, like England for example.

Despite the common perception that monarchy is a thing of the past, and all remaining kings and assorted other nobility mere figureheads, there's a fairly large number of states still governed through monarchy, and in a surprising number of them, the monarch's power is still legally or effectively very close to absolute.

Here's a short list of countries which either have no written constitution, do not provide for a legislature in their constitutions, or where the ruler retains enough power over the legislature that he's far from a figurehead:

• Saudi Arabia
• Kuwait
• The constituents of the United Arab Emirates
• Oman
• Bahrain
• Qatar
• Morocco
• Jordan
• Brunei
• Bhutan
• Monaco
• Liechtenstein
• Tonga
• Swaziland

There's also a somewhat larger number of true constitutional monarchies, such as:

• Great Britain; and also under by the House of Windsor
  • Canada
  • Australia
  • New Zealand
  • Antigua and Barbuda
  • The Bahamas
  • Belize
  • Barbados
  • Grenada
  • Jamaica
  • Nevis and St. Kitts
  • Papua New Guinea
  • Saint Lucia
  • Saint Vincent and the Grenadines
  • Solomon Islands
  • Tuvalu
• The Netherlands
• Belgium
• Norway
• Denmark
• Spain
• Luxembourg
• Possibly Andorra, depending on one's definition
• Lesotho
• Japan
• Nepal
• Thailand
• Malaysia
• theoretically, Cambodia

Taken altogether, that's a fairly substantial portion of the world's population, land area, and resources.

This led to problems when ruling a country that wasn't doing too well. If God says who should be the monarch, then why is the country failing under this monarch?

In many modern monarchies the government holds all the power (pretty much) and the monarch is there mainly for sentimental/constitutional value (and to save a huge rewrite/rethink of the constitution). This is the case in Great Britain. The monarch can do very little as far as running the country is concerned. Theoretically, the Queen can do many things such as call a war but these powers have now been handed down to the Prime Minister and Parliament. These powers are called Royal Prerogative powers.
don't know whether this is the name elsewhere

Mon"arch*y (?), n.; pl. Monarchies (#). [F. monarchie, L. monarchia, Gr. . See Monarch.]

1.

A state or government in which the supreme power is lodged in the hands of a monarch.

2.

A system of government in which the chief ruler is a monarch.

In those days he had affected zeal for monarchy. Macaulay.

3.

The territory ruled over by a monarch; a kingdom.

What scourage for perjury Can this dark monarchy afford false Clarence. Shak.

Fifth monarchy, a universal monarchy, supposed to be the subject of prophecy in Daniel ii.; the four preceding monarchies being Assyrian, Persian, Grecian, and Roman. See Fifth Monarchy men, under Fifth.

© Webster 1913.