Referendums are a form of direct democracy that are currently advisory in the UK - the government can therefore choose to ignore the majority outcome. In terms of enhancing democracy, there are several lines of argument that one could take in answering this question: the trade-off between expertise and direct democracy; the type of referendum question being considered; and whether the government really has the political ability to ignore the results as the process currently stands.
A good answer could be made for either side for any of these lines of argument, so long as it was appropriately backed up by examples and an awareness of the trade-offs involved.
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