Sweden is a constitutional monarchy. King Carl XVI Gustav is the head of state for Sweden while the Prime Minister is head of government and runs the country in political matters. This is the same type of government as that of the United Kingdom. In most modern Constitutional Monarchies, the Ruler has restrictions placed upon his power by the existence of a constitution or as in England's case, constitutional tradition.
The Royal Family of Sweden contains:
King: Carl XVI Gustaf, he has been the King since September 1973.
Queen: Silvia, she was originally a German stewardess. She married Carl Gustav in 1976.
Crown Princess: Victoria, heiress to the Throne of Sweden.
Prince: Carl Philip, was originally heir to the throne, but then constitution was amended to let the eldest child ascend to the throne, even if she is female, meaning Victoria became the heir.
Princess: Madeleine
The Royal Family is popular in Sweden as a symbol of the Swedish People.
Hope I was able to help you out!
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For the person who gave me the thumbs down, thanks for letting me finish writing my answer. I guess I could have just copied and pasted my answer like some other people.
FYI-Both, a democracy and a monarchy? That's what a Constitutional Monarchy is. The correct political term is Constitutional Monarchy. Also, terms like capitalism describe the economic system of government, they do not describe the government itself.