politics
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US, UK, Australia, New Zealand and some other smaller countries.
Canada
Not Canada. The NDP is more than just a spoiler. They hold the balance of power right now!
How many NDP ministers have we had at the federal level in Canada's history?
What parties have had their leader be the prime minister?
The NDP kept what party in power longer than any other minority government in Canada's history?
What party would have taken power had the NDP not postponed the elections?
What party will take power to replace the one in place come next election?
That’s not what determines whether a country is a 2 party system or a multi party system. There are plenty of countries that have small parties which have never formed government themselves but nevertheless have held real power in coalitions or minority parliaments.
Canada’s public health care system was created by Tommy Douglas, an NDP MP and party leader. If Canada were strictly a two party system like the US then that would never have happened.
Douglas implemented it in... Saskatchewan. At the federal level it was implemented by a Liberal majority government.
At the federal level the NDP and Bloc only have power insofar as the Liberals and Conservatives choose to entertain them, the Liberals could have decided not to implement any of the NDP demands and then the Conservatives would have taken their place and then all of the NDP objectives would have been buried and forgotten.
Australia's isn't based on FPTP or anything explicitly, nefariously, anti-democratic — except the part where media ownership is one of the most monopolised of all western "democracies", or the part where most state and federal politicians are financed by the wealthiest individuals and corporations (not in the American direct payment, openly corrupt, kind of way. More in the golden parachute, regulatory capture, quid pro quo kind of way).
Interesting how 5 eyes are all stuck in a plutocratic two-party system, huh? Almost like the MIC and most advanced mass surveillance apparatus in history has a lot more influence over our politics than any of us realise...
It's true that many large established liberal democracies right now have only a maximum of two major parties with any realistic chance of holding power.
In Germany, that's the Social Democratic Party and the CDU/CSU. In Spain, it's the Spanish Socialist Workers' Party and People's Party. In Taiwan, it's the Kuomintang and the Democratic Progressive Party. In New Zealand, it's the National Party and the Labour Party. In Singapore, it's the People's Action Party and the Workers' Party.
I think I can even argue that liberal electoral democracy in general trends towards two major political parties or permanent coalitions—a centre-left liberal coalition and a centre-right conservative coalition.