The latest news on this front comes from a really interesting article by Democracy Digest

Is contemporary capitalism compatible with liberal democracy? The glib answer, though not wrong, is that it had better be. There are no known examples of fully socialized economies with a liberal democratic regime. The more considered answer is that it can be, but only with the public policies that make it so, argues William Galston, the Ezra K Zilkha Chair in Governance Studies and senior fellow at the Brookings Institution.

The relationship between liberal democracy and capitalism changes over time, as do the policies needed to make them mutually supportive. Not for the first time, changes in the structure of capitalism have lately moved faster than the policies required to domesticate them. Liberal democratic governments are scrambling to catch up, he writes for The Guardian.

Political reform is required along two tracks—changing institutional structures to make effective government more possible in divided societies; and taking on directly the social divisions that have polarized democratic politics and sparked the populist surge, adds Galston, a former National Endowment for Democracy board member:

See full story here.