Manuel suggested I read Norberto Bobbio, an Italian socialist writer on democracy. So I picked up his "Which Socialism?" In it, Bobbio argues that there's no necessary connection between democracy and socialism. Contrary to what socialists would like to believe, democracy doesn't automatically happen in a socialist economy. And also, democracies don't automatically evolve towards socialism. He thinks that socialists should pay as much attention to democratic theory and practice as liberals. He thinks the socialist dismissal of liberal democratic theory as simply 'bourgeois' is too summary. And worst of all, it can lead to a certain contempt of democracy on the part of socialists. And why hasn't socialist theory included more theorizing about the state and democratic arrangements? Probably because in socialist theory, the state is supposed to wither away, so why spend a lot of effort figuring out how something is supposed to work when it's supposed to wither away anyway?
"Which Socialism?" had a few other interesting ideas, especially Bobbio's 4 paradoxes of democracy. These are 1) that direct democracy is difficult in small organizations, but almost impossible in large ones. Pg.69 has this very interesting quote:
"Direct, or 'Athenian', democracy, which was revived by the student movements of the 1960s and 1970s, has almost always been deceptive: it consists, on the one hand, of an assembly whose function is limited, limited more severely in some respects than that of the worst parliaments, to ratifying (often by acclamation) the decisions of the executive as expressed in motions; on the other hand, of an executive, the basis of whose power is charismatic (in the technical sense of the word according to which 'charismatic is contrasted with 'democratic'), and whose power is far more immovable and irresistible than that of any executive of a representative body."
The second paradox 2) is that a more comprehensive democracy requires a more comprehensive administration. "To extend democracy means extending bureaucracy" (pg. 70-71).