The Ratshi Terrier is bred mostly for indoor living and companionship. It is a cross between a Shih Tzu and an American Rat Terrier. Despite its small size, the Ratshi Terrier can be a bundle of energy, and tends to be yappy when excited. However, it will take to the couch or the bed as well as any layabout, if permitted.
The American Rat Terrier is considered an American type of dog, and was kept in the 1920's and 30's as a ratter in rural areas.
The Shih Tzu, on the other hand, traces its roots to ancient China, and is, in fact, one of the oldest dog breeds extant. It has always been a family pet and companion dog, most notably of Chinese nobles and royalty.