The creators of the two-party system, The Federalists and Republicans, were men who looked upon parties. The course of American political party development can be broadly divided into three major stages (Chamber 7). The first two-party system was developed between the two opposing groups called the Federalists and the Democratic-Republicans.
In government structures, a two-party system means that only two political parties receive a majority of the votes that are cast for representatives. That means only one party or the other can win a majority in the government. There are additional parties that are present and campaign within a two-party system, even on a national level.