Democracy can exist under any kind of an administration, Socialism or Capitalism, as long as the internal conditions are not a threat to a system’s economic base!
If the internal conditions within a Socialist or a Capitalist environment are a threat to the economic foundation of a political system, …that political system will circle the wagons and put in place a dictatorship of the capitalist class. This is defined as fascism! …
In the Soviet Union you had a Dictatorship of the working class!
The conflict between a socialist and a capitalist economy exists because they are opposites! Socialists believe in social planning and a planned economy, and capitalists believe in private enterprise and no government planning!
The conflict between the two systems has nothing to do with government or the administration of society! It has everything to do with economics!
The establishing and securing it’s economic base is what every economic system from the beginning of time has always attempted to do!