A referendum is a practice where electorates vote directly on any law or proposal in order to bring any policy to the nation.
What are the benefits of having a direct, binding referendum?
The practice helps the government to take any vital decision for making improvements in political issues and images. Thus, it eliminates non-constitutional acts of the governing parties.
What are the drawbacks of having a direct, binding referendum?
The major drawback would arise due to tyranny as the majority votes would result in satisfying certain political needs. Thus, with the loss of minority the power goes into the hands of ambitious people.