Is democracy for the good of the people?

I would like to ask everyone if this democracy and capitalism is really good for the people? I am not doubting the foundation of this ideology or the thought of the ancestors but I am in doubts with how extensive the government is getting involved in all facets of life. Everything is done under this voting system with majority getting the opportunity the steer the mass to any direction. We select the best out of the few choices that we have and that does not really reflect our beliefs. We make do with the best options that are given. We sacrifice.
The taxation of our income used to run a government. So they say. But they are able to use it any way they want.
I would like to ask those that read how they think of modern word government. Is it really good of the people? I see it as an extention of the monarchy era type of structure. I think that these instances like Catalonia Independece vote as a move towards a more tribal society rather than a giant central government.