Palpatine is explaining that the Jedi have a plan to take over the government and that he announces that the Republic will be reorganized as the Galactic Empire. As Palpatine takes over the government, Padme states “this is how liberty dies… with thunderous applause.” Historically, strong governments have relied on democracy and free market as opposed to authoritarian empires, which is what Palpatine established. A Democracy is a form of government in which individuals vote for elected officials to represent them in policy making and an Authoritarian Government is a type of government with one strong central power. Learn more about Democracy and Authoritarian forms of Government in this clip!