I can't remember the name of this theory, but the idea is that any government system can work if the group is small enough. He may have even pegged a number as the limit.

Either way, most people believe Hollywood's version of a pirate captain running the ship as a dictator without knowing that it's one of the best examples of a true democracy aside from some states in ancient Greece.

The captain was sometimes voted on for each voyage/sortee. The person chosen was often the person that knew navigation the best.