Although most political party systems in Latin America have relatively
few major parties, and in many case those parties fall relatively clo
sely together ideologically, the countries of Latin America have consi
stently struggled with political instability. This article argues that
an important factor contributing to the varying stability of politica
l parry systems concerns how major parties compete. Party systems with
a moderate level of competition, in which opposing parties have disti
nct positions, authentically attempt to defeat their opponents, but ac
cept as legitimate an opposition win, tend to be the most stable. Part
y systems become relatively less stable with either more or less compe
tition. Party systems with combative party relations, in which parties
do not accept the right of the opposition to win, tend to be the most
unstable, as the primary competitors may themselves be inclined to su
pport the usurpation of democracy. However, party systems with collusi
ve party relations, in which major parties cooperate closely through p
acted or consociational arrangements, may also contribute to instabili
ty. These arrangements may initially facilitate democratization during
transition periods, but over time the stagnating party system may fai
l to keep pace with a changing society. Limited opportunities for new
political parties and a loss of representativeness by the older partie
s encourage the development of anti-system parties.