The purpose of this paper is to develop a deeper understanding of the dynamics and possible consequences of this leftist trend in Latin American politics considering the interplay between democratic transitions and market policies implementation.Latin American politiesâ??political parties, social movements or networksâ??have in recent times moved towards different forms of leftist options, whether in discourse or in policy making. Although the initial transitions from authoritarian to democratic régimes were coupled by more center-to-right régimes, the present leftist trend should come as no surprise. Democracy was reestablished almost at the same time as pro-market policies following the then dominant Washington consensus were implemented. Almost two decades after these policies were launched, their basic promise of increased welfare for all citizens has not been fulfilled. Although social, economic and cultural inequalities are deeply rooted in Latin American societies and were already notorious well before the Washington Consensus, it is more or less a generalized impression that neoliberal policies have aggravated these inequalities. Even if there is still debate on their precise impacts on inequality, poverty and economic growth, what can be said beyond contestation is that strengthening democracy has made social inequalities more apparent, public policy responses more transparent, and hence political representation more accountable. Secondly, expectations concerning high rates of economic growth have not been met in any country in the region, except for Chile. The public's impression of policies largely failing to respond to increasingly visible social inequalities has triggered a shift of political preferences towards the left, which is evidenced by recent elections as well as the general discourse in the political debates throughout the region. The purpose of this paper is to develop a deeper understanding of the underlying logic and possible consequences of this leftist trend in Latin American politics. In doing so, I address the current debate on populism and the extent to which it poses a threat to democracy. This debate has been obscured by extreme views that either condemn all forms of policies that seek to confront inequalities or hail such policy efforts blindly. I argue that this debate needs a more nuanced examination of the specific institutional characteristics of populism in contemporary Latin American democracies. As Alexis Tocqueville works remind us, during times of changeâ??even radical onesâ??there are important strings of continuity that ought to be considered because they are crucial determinants of potential restorations. The de facto governance structures in modern Latin America are often shaped by traditional relationships between members of the oligarchy rather than by recent political reforms. Culture and its norms continue to shape interactions in contemporary Latin American politics. Various paths are being pursued to overcome the crises related to governance structures, the vulnerability of governing coalitions, and mechanisms of representation in Latin America. However, success in pursuing these paths requires addressing the major issue of inequality. This takes us back to another of Tocqueville's main concerns. As Vincent Ostrom put it, "Tocqueville's task in Democracy in America was to understand the American efforts to organize a republican system of government and to determine whether it offered a promise of maintaining liberty under conditions of equality." ..PAT.-Unpublished Manuscript [ABSTRACT FROM AUTHOR]