What did Peter mean when he referred to Christians as a chosen race and how di he expect the to behave to civil authority?

The Jews always regarded themselves as descendants of Abram;
as God’s chosen people. Unfortunately for them, they were unable to recognize
the place of Jesus in God’s plan for man’s salvation and therefore, they
rejected him as the son of God. Their privileged position was, therefore, transferred
to those who, through faith, believe in Jesus. Peter, therefore, admonished the
believers in their new status, to remember that they were formerly no people in
the sight of God, but owing to their belief and faith through Jesus, they
become children of God. Peter, therefore, cautioned that they should henceforth
maintain good conduct among the Gentiles or unbelievers, so that, in case the
latter spoke against them as wrong doers, they might see their good works and
glorify God. 
Peter expects Christians to subject themselves to civil
authority and institutions for the Lord’s sake, for God has set them up to
punish wrong doers and praise those who do right. It is God’s will that by
doing right, they would put to silence the ignorance of the foolish men. He
also teaches that as men who live under the freedom of Christ, they should not
use their freedom as a cover-up for evil. As servants of God, they should
honour all men, love the Christian brotherhood, fear God and honour the emperor
(king). Finally, as Christian servants, they should be submissive to their
earthly masters in all respects. God approves of those who, being mindful of
God, endure pain while suffering unjustly

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