There are problems with ANY form of human government. Our democratic republic flourishes as long as the people hold to their traditional religious virtues.
Our public educational system is terribly flawed and corrupt in this respect. The breakdown of the traditional family is also another MAJOR factor.
The only solution is to let it all come down. Once the power of the State collapses, natural leaders will arise from within the various ethnic tribes and will lead them in competition with one another for resources and territory. A few generations of warlords will pass before these various tribal arrangements become sanctioned by the Church, and we'll be back to monarchy again. Sic transit gloria mundi.