Can capitalism save democracy?
Sinanoglu, Semuhi / Lucan A. Way / Steven LevitskyExternal Publications (2025)
in: Journal of Democracy 36 (3), 5-15
DOI: https://doi.org/10.1353/jod.2025.a964562
Information
While capitalism today is widely seen as a threat to democracy, the free market plays a central role in fostering pluralism. A strong and autonomous private sector is critical to the creation of a robust opposition and an independent civil society that are central to democratic resilience. At the same time, even rich and powerful private sectors in high-income countries may be vulnerable to government pressure with regulatory coercion — a fact that makes these countries potentially susceptible to democratic backsliding. Indeed, state capture of business — to a greater degree than business capture of the state — represents the most direct threat to democratic survival.