This Is the No. 1 Democracy in the World

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By Douglas A. McIntyre Published
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This Is the No. 1 Democracy in the World

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Two totalitarian nations currently threaten the world order, China and Russia. They stand in stark contrast to the world’s democracies, which have been united in their response to Russia’s invasion of Ukraine. Despite sharing a border with Russia, this includes Norway, the No. 1 democracy in the world.

Meanwhile, China has indicated its plans to take over Taiwan, an independent country with 25 million people. Also known as the Republic of China, Taiwan is just off the coast of the People’s Republic of China, which has the world’s largest standing army. 

The Economist Intelligence Unit’s just released Democracy Index 2021 divides the world’s 167 largest countries into four categories: full democracies (12.6% of countries considered), flawed democracies (31.7%), hybrid regimes (20.4%), and authoritarian regimes (35.3%). Many authoritarian regimes also rank among the most corrupt countries in the world.

To find the most democratic in the world, 24/7 Wall St. reviewed the report, listing all 21 highest ranking countries — those considered full democracies. All data is from the report.

Russia, which is among the authoritarian regimes, ranks 124th among all nations. China, in the same category, ranks at No. 148. China is the focus of the entire study, which has a subtitle of “The China Challenge.” (Read 24/7 Wall St.’s take, published ahead of Russia’s invasion of Ukraine, on the 10 biggest risks to global security in 2022.)

The governments on the list are rated by 1) electoral process and pluralism, 2) functioning of government, 3) political participation, 4) political culture, and 5) civil liberties. Each of the nations is given a score, with a maximum score of 10. With a score of 7.85 overall, the United States is listed as a flawed democracy and ranks 26th.

The United States has fallen on the list recently. The report notes: “The US score declined further as its new president Joe Biden, struggled to arrest the democratic decline that has occurred over the past few decades.” The U.S. lowest scores are in the area of political culture and functioning of government.

Norway tops the list with a score of 9.75. Scandinavian nations dominate the top of the rankings, though New Zealand is in second place.

These are the world’s 21 full democracies

Wikipedro / Wikimedia Commons

21. Costa Rica
> Overall democracy score: 8.07
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 9.71 — the highest on list

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20. Austria
> Overall democracy score: 8.07
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 8.24 — #19 highest on list

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19. Mauritius
> Overall democracy score: 8.08
> Electoral process and pluralism score: 9.17 — #20 highest on list
> Civil liberties score: 8.53 — #18 highest on list

BrianAJackson / Getty Images

18. United Kingdom
> Overall democracy score: 8.10
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 8.82 — #14 highest on list

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17. Japan
> Overall democracy score: 8.15
> Electoral process and pluralism score: 9.17 — #20 highest on list
> Civil liberties score: 8.24 — #19 highest on list

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16. South Korea
> Overall democracy score: 8.16
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 7.94 — #21 highest on list

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15. Germany
> Overall democracy score: 8.67
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 9.12 — #10 highest on list

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14. Luxembourg
> Overall democracy score: 8.68
> Electoral process and pluralism score: 10.00 — tied the highest on list
> Civil liberties score: 9.41 — #4 highest on list

brupsilva / iStock via Getty Images

13. Uruguay
> Overall democracy score: 8.85
> Electoral process and pluralism score: 10.00 — tied the highest on list
> Civil liberties score: 9.71 — the highest on list

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12. Canada
> Overall democracy score: 8.87
> Electoral process and pluralism score: 10.00 — tied the highest on list
> Civil liberties score: 9.12 — #10 highest on list

Noppasin Wongchum / Getty Images

11. Netherlands
> Overall democracy score: 8.88
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 8.82 — #14 highest on list

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10. Australia
> Overall democracy score: 8.90
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 8.82 — #14 highest on list

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9. Switzerland
> Overall democracy score: 8.90
> Electoral process and pluralism score: 10.00 — tied the highest on list
> Civil liberties score: 9.41 — #4 highest on list

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8. Taiwan
> Overall democracy score: 8.99
> Electoral process and pluralism score: 10.00 — tied the highest on list
> Civil liberties score: 9.41 — #4 highest on list

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7. Ireland
> Overall democracy score: 9.00
> Electoral process and pluralism score: 10.00 — tied the highest on list
> Civil liberties score: 9.41 — #4 highest on list

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6. Denmark
> Overall democracy score: 9.09
> Electoral process and pluralism score:10.00 — tied for the highest on list
> Civil liberties score: 8.82 — #14 highest on list

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5. Iceland
> Overall democracy score: 9.18
> Electoral process and pluralism score:10.00 — tied for the highest on list
> Civil liberties score: 9.41 — #4 highest on list

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4. Sweden
> Overall democracy score: 9.26
> Electoral process and pluralism score: 9.58 — #12 highest on list
> Civil liberties score: 9.12 — #10 highest on list

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3. Finland
> Overall democracy score: 9.27
> Electoral process and pluralism score:10.00 — tied for the highest on list
> Civil liberties score: 9.41 — #4 highest on list

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2. New Zealand
> Overall democracy score: 9.37
> Electoral process and pluralism score:10.00 — tied for the highest on list
> Civil liberties score: 9.71 — the highest on list

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1. Norway
> Overall democracy score: 9.75
> Electoral process and pluralism score:10.00 — tied for the highest on list
> Civil liberties score: 9.12 — #10 highest on list

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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