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The terms, "presbyterian" and "episcopalian" do not refer strictly to denominations, but rather to different forms of church "polity", or government. There are three "standard" forms of church polity, those being presbyterianism, the episcopate, and congregationalism.

Congregationalism gives the congregation complete control over their church, sometimes with direct control of church government. This is done through congregational meetings and/or the election of a council of elders (or the "church board" if deacons are also members) from among their own members. Either the congregation or the board has the ability to set the budget for the church, as well as dictate their doctrine, practice, and even decide to join or leave a denomination they might be affiliated with. This is the practice of most independent (or "nondenominational") churches. The most well-known denomination that utilizes this form of government is probably the Southern Baptist Convention.

Episcopal polity is the oldest and most traditional form of church polity. the word "episcopal" is derived from a Greek term, "episkepes" which means "overseer". An episcopal church is any church that utilizes this system, which places authority, at least in large part, in the hands of the clergy. This polity generally ordains both deacons and priests/ministers, and appoints bishops (and sometimes archbishops) over dioceses (and sometimes archdioceses) generally with a presiding bishop at the top. Some of these systems utilize only clergy, which convene regularly as a body, while others also convene deacons and laymen. The Roman Catholic Church is in the form of an episcopate, as is the Eastern Orthodox Church, and the Anglican Communion (the group of churches that reconize, and are recognized by, the Church of England), of which the Episcopal Church (USA) is a member.

Presbyterianism seems to strike a balance between these two forms of polity. "Presbyterian" comes from the Greek word "presbuteros" which means "elder". Presbyterians argue that this word and "episkepes" refer to the same role, and so they do not ordain bishops. Instead, the general rule is that they appoint deacons, and ordain two forms of elders, the "ruling elders" which are otherwise laypersons that are elected from a church congregation to represent them, and the "teaching elders" which are the clergy of the denomination and serve as pastors, chaplains, etc. Presbyterians elect their own members to speak for them to the denomination on an increasing scale. A group of churches in an area will convene their elders (teaching and ruling) in a Presbytery, who further send members to a higher body that includes more churches in their jursidiction, sometimes called a Synod. At the top level is a General Assembly, which is representative of the entire denomination. The Presbyterian Church in America (PCA), the Presbyterian Church in Canada (PCC) and the Presbyterian Church (USA) are all examples of presbyterian polity. The Church of Scotland is also presbyterian.

However, in the United States we do have denominations called the "Episcopal Church" and the "Presbyterian Church." I will now talk about their similarities and differences, as this is probably what you were asking about.

The most well known chuch known as the "episcopal church" is the Episcopal Church of the United States of American, or the EC(USA), although there are others (such as the Reformed Episcopal Church). The EC is the American branch of the Church of England, and is thereby a member of the Anglican Communion. They have a legislative body at the national level for clergy, and another for laymen, that work in a bicameral system. They have several dioceses and appoint a Presiding Bishop. This bishop is recognized by the Church of England as the Metropolitan Bishop of the United States, or simply the "Metropolitan." This term refers to a bishop in episcopal polity that is appointed over an entire nation, to lead the churches there. The EC(USA) answers to the Anglican Church, which is titularly headed by the Sovereign Monarch of England, and ran on a daily basis by the Archbishop of Canterbury.

They baptise infants, and practice seven sacraments. They tend to be very liturgical, and typically make use of vestments. The Anglican Church (which includes the EC(USA)) is divided on their liturgy into High Church and Low Church. The High Church Anglicans dress and act very similar to Catholic worship, whereas the Low Church is somewhat less formal (although still very strict by most other standards!) and they generally look and behave less like Catholics. Some of them are even similar to Presbyterians in their worship. Doctrinally they recognize The Bible, Old and New Testaments, as fit for the interpretation of doctrine. They also recognize the Thirty-Nine Articles of Religion, and the Lambeth Quadrilateral. They are currently in an internal struggle over doctrine, as a large group has shifted to a liberal stance, while some have remained conservative. This battle only grew with the ordination of an openly homosexual bishop of New Hampshire, and has caused numerous splits by the theologically conservative in order to distance themselves from the more liberal majority.

The Presbyterian denomination that is most numerous in the United States is the Presbyterian Church in the United States of America (or the PC(USA)), although there are others of very significant size (such as the Presbyterian Church in America, a.k.a. the PCA). The PC(USA) tends to lean quite liberal in their theology, while the PCA is considerably more conservative. Both baptize infants, as the EC does, but they each only recognize two sacraments (baptism and the Eucharist (or Lord's Supper)). They also both recognize the Bible, Old and New Testaments, as the standard for the formation of doctrine, and they both also recognize the Westminster Confession of Faith Larger and Shorter Catecisms as their statement of faith.

However, they interpret these very differently. The PC(USA) is much more doctrinally open than the PCA, which actually split from it (the PCA from the PC(USA) because they feared they had become too liberal and were sacrificing key tenets of the faith. The PCA, then, tends to lean traditional in their understanding of the Westminster Confession, and so they hold to the traditions of the Reformation, such as the Five Solas, Covenant Theology, and the doctrine of Calvinism. The PC(USA) ordains men and women equally into ministry, and has been fighting internally with the choice to ordain homosexuals. The PCA ordains only men into the ministry, taking a complimentarian view between the sexes, and seems to have no desire to ordain homosexuals, as they feel it is a lifestyle that is in contradiction with Scripture.

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