Final answer:
Option 1) Pluralist theory posits that power is distributed among various organized groups in society, leading to compromises and tradeoffs that shape government policy.
Step-by-step explanation:
The theory of power that suggests power operates through individuals and groups through a process of give-and-take, with the power of one group counterbalanced by the interests of another leading to compromise, is the Pluralist theory.
According to this theory, political power is distributed throughout society among a variety of organized groups, each having different amounts of influence on certain issues. This results in government policy that is usually the outcome of tradeoffs as groups and elites compete for influence and politicians attempt to balance the demands of competing interests.