It still has all the faults of democracy. It's a slow and beaurocratic system, with no real solutions to ever warrant the ammount of debate. Compromises 'a plenty...
Anyway, the reason why our little country doesn't go to hell in a handbasket is just that; it's a little country. We've got few differences between people to worry about.
What we have seen throughout the years is that with the influx of different influences and ideas, the system becomes less and less able to cope with differences between people. Because of that it will either become less effective and slower, or tensions will start to rise.
Now, the influx of ideas can't (and I would say: shouldn't) be stopped. So in the end our democracy too, might have to adjust somehow.
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