It sounds like the game cant switch the screen to its default resolution. does the error happen immediately? If you open up the file inside democracy\data called 'config.muf' and change the line that says IsWindowed=0 to Iswindowed=1 (you can open it in notepad) it should run ok.
I would recommend trying screen height as 768, screen res at 1024 and windowed as 1, with colordepth at either 16 or 32. One of those combinations should work on your video card, unless you are using a laptop with a screen height below 768.
Screen height is set to 768 and width to 1024. 16 bit or 32 bit colour makes no difference. What is puzzling is that I set IsWindowed =1 ( confirm the setting before running Democracy), but it still fails and Democracy itself has changed the line to IsWindowed=0
Couldn't agree more. I've not had problems with Democracy but I've had them with several others games. Now problems now that I installed W7 instead, I might add! Screw Vista! hope you got your errors sorted out, Ken!