ABSTRACT
The concept of democracy creates a variety of images, but in defining it, most people would probably come close to the Oxford English Dictionary’s description, which is ‘government by the people, direct or representative’. Direct government involv ing every member of the society is possible only in very small communities, or in particular instances and on specific issues in larger ones, as with the use of referenda in some societies. Most government is by representatives, and in a majority of countries by elected representatives (in 1976 only one European country - Spain-had no elected body involved in the detail of its govern ment). The initial purpose of agreed government (which is differ ent from superimposed government, in which a powerful group imposes its rule on a weaker one), was to provide goods and services that individuals could not provide for themselves, such as defence from hostile countries. Governments were appointed, constituted, or elected for the purpose of raising taxes to provide these services, of which defence was usually the most important - it is still a major stimulus to the growth of governmental power, for instance in many countries during World War II. Increasingly, as greater proportions of national populations have been given a say in government through the electoral process, the provision of services has been handed over to governments, because of ‘market failure’ in the private sector of an economy (Tullock, 1976). To provide an acceptable level of living for all, governments in many countries now provide a wide range of welfare and other services. Government began as a protective institution, but its main func tions are now productive, in the generation of employment and
the repair of failures in the capitalist market system (Buchanan, 1974).
