Another factor I'd argue is important but often not explicitly called out is the ability of a group of people to change their mind. Democracy provides this via

Another factor I'd argue is important but often not explicitly called out is the ability of a group of people to change their mind. Democracy provides this via elections -- and when elections become too disconnected from decision making, eg regulatory capture or excessive veto points or other mechanisms or emergent practices that insulate decisions from electoral consequences, democracies stop working as well. Organizations, be they states or businesses or any other institution, that have a greater ability to change their collective minds aren't guaranteed to always make better decisions at any given moment, but over time they're able to course correct in a way that less flexible approaches simply can't.