Democratic capitalism, is an economic system that combines capitalism and a strong welfare state curbing the excesses of individual freedom. The coexistence of capitalism and democracy, particularly in Europe, was supported by the creation of the modern welfare state in the post-war period which enabled a relatively stable political atmosphere and widespread support for social democracy as opposed to Soviet communism.
- ^Muller, Jerry Z. (March 2013). “Capitalism and Inequality”. Foreign Affairs.