As plato wrote, pure democracy is the last step to tyranny, as it is essentially anarchy, and having no central authority, some men's natural instinct to domineer will find a select power-hungry/incontinent few into the helm of absolute power. There is such a thing as too much freedom, and this isn't only regarding individuals' lifestyle choices. Capitalism is a far bigger problem. As we've seen, we cannot trust free-markets to make safe or moral decisions. A completely open capitalist environment leads to an unnecessarily high mortality rate and massive insult to the planet (meaning capitalism is essentially a virus, as it kills its host). For example, by some estimates, the psychiatric industry alone has killed more people in the last 100 years than have died in all wars combined (after discounting intentional overdoses). Never mind insanely fast environmental destruction, and such a decrease in air quality in metropolitan zones, that some areas carry cancer rates nearly 400% higher than years ago.
However strong government carries its own set of problems. The problem with government oversight is two fold:
The first is that [so far] the well developed free-markets, or semi-free market variations are far more efficient than wholly government directed markets. It simply takes too many resources to load-balance resources to sustain optimal development. The 2nd is that the checks & balances population rises at an exponential rate relevant to the decision making population. It has to rise at least at the square of the bureaucracy (or (bureaucracypop - x)^2) because you have to have at least 2 people evaluating each decision, since the first overseer could be incompetent or in collusion with the bureaucracy. You could use some pseudo-Feynman sum-over histories approach with regards to decisions, but essentially it is an exponential rise.
The last is the biggest problem preventing an immediate rush to strong government (socialist, autocratic, auto-aristocracy, whatever). The system Plato laid out seems to me incredibly well thought out, but even if the selection process of rulers and their lieutenants was ideal. it is doubtful that many would feel comfortable with the restrictions which would be necessary to maintain harmony (sounds a lot like Orwellian dystopia actually), regardless of its wisdom. So we're back to this hodgepodge reality we currently live in.
If anyone read this I'd be amazed and grateful.