[titanomachy]

I would argue that regardless of the democracy's functioning, informed investment in long-term infrastructure projects is unlikely without an adjustment in incentives. People (of which voters are a subset) value short-term payoffs much more than long-term ones. Politicians hope to be re-elected, so projects which will not mature before the end of their term are unattractive.

Neither group has great incentives for good long-term investment in infrastructure. The Olympics are desirable for emotional/patriotic reasons, and at the same time happen to set up an incentive structure which supports infrastructure investment.