Given that most regions of Europe were very feudal, and most people were dirt-poor serfs with few rights, how did Venetian society compare? It was a "republic," as well as a massive trade hub. Did this have any effect on the quality of life/level of freedom for the average citizen?
John Julius Norwich opens his History of Venice by noting that more time separates the beginning and end of the Republic of Venice than separates Queen Elizabeth II of England from the Norman Conquest. The Republic of Venice was a polity which existed for ove a thousand years, outlasting two and a half polities calling themselves "Kingdom of Italy," and witnessing the beginning, middle, and end of feudalism. The Republic saw the rise of the nation state, and was extinguished just prior to the creation of an Italian national identity. As the Republic grew and changed over time, so did its government and institutions; so there can be no single answer to this question. However, this question can be answered by examining the inclusiveness of Venetian institutions over time.
Part One: The Origins of the Venetian Political System
The early history of Venice was fundamentally characterized by the constant threat of revolt. Already in the eighth century, under Byzantine rule, the people of the lagoons had risen up against an imperial decree they disagreed with. Perhaps as a consequence of the Northeastern Italian coast's geography, in late antiquity the people of the Lagoons quickly became rich, numerous, and influential. One chronicle attests that when St. Mark's body was stolen from its resting place in Alexandria in 832, no less than ten Venetian ships were present in the harbor. Because of the importance of navigation in the economy (and the fact that Venice started out as a bunch of islands in a lagoon) Venice never developed a strong landowning aristocracy like the rest of the former Roman Empire and instead developed a system of government in which the people acclaimed one person to organize the protection of the lagoons.
Coastal northeastern Italy was a Byzantine Military outpost up until Ravenna fell to the Lombards in the eight century. When Ravenna was under siege in 751, no Consul was appointed to govern the lagoons that year. The people elected their own Dux, or military leader (a title which would quickly be corrupted in the local Vulgate to "Doge"). When Ravenna fell and what was left of the Byzantine army evacuated to Bari, this man (named Teodato Orseolo) found himself the ruler of an independent polity. Never having officially severed ties with the Eastern Empire, Venice existed in a legal of gray area for its early history. In Basileus Nicepherus' 811 treaty of recognition with an elderly Charlemagne, Venice is recognized as a sort of self-governing Byzantine commonwealth. Early Venetian rulers would adopt multiple Byzantine titles. However, there was no way for the Eastern Empire to enforce their rule; for all intents and purposes, Venice was an independent state.
The lack of a powerful landed aristocracy didn't mean that early Venetian society was some sort of happy Star Treck kind of equal society. In fact, in the ninth century Venetian citizens were split between the pro-Byzantine landowners in Eraclea, the pro-Republican merchants of Malamocco, and the pro-Frankish Clergy. The Doge was elected by popular acclaim (often, a particularly wise and well-liked citizen was elevated by the populace) and the Doge was checked by two high judges called Tribunes, typically one from the Island of Malamocco and another from the community of Eraclea.
I'm not going to go through every single decision that was made (generally, after every few revolts a new office was created) however some important dates stand out: in 1143 a Concilium or council was established to represent the people, replacing the Arengo, a word basically connoting the Venetian mob.
By the twelfth century, the Venetian Republic was facing several internal and external pressures; this was a time period when most Italian Cities were affirming their new independence by rallying around urban Bishops. However, Venice had always been independent and had no need to rally around their Bishop, who happened to hold the very important title of Patriarch of Aquileia. In fact, the Venetians not only insisted on taking an independent line between the Church and the Italian cities in their fight against the Holy Roman Empire, but even actively ignored the conflict; preferring to focus energy to help the Byzantine Empire fight a war against the King of Sicily. Further, several venetian trade outposts in Dalmatia were no longer acknowledging Venetian rule.
Managing relations with an increasingly active and politicized clergy, a state of war just over the lagoon on the Italian mainland, Venice's own war in Sicily, and the pacification of the Istrian cities, could no longer be performed solely by the Doge and his inner circle of friends and advisors. So his inner council was replaced the 35-man Concilium, who would function as the Doge's ministers and council, with all members acclaimed for life by the Arengo.
By 1207, population growth made assembling the Venetian mob every time a Councilor dropped dead went from being impractical to being almost impossible. So instead of nominating each member of the Concilium, they nominated three "Electors" whose job it was to pick men to serve in the Concilium. In 1230, the mob started acclaiming however many wise men they thought were sufficient to pick a suitable council, sometimes picking as many as seven electors.
In the meantime, the government of Venice grew. The Concilium was increased to 100 members in 1172, effectively constituting a state bureaucracy. By 1178, the Doge was no longer elected by the Arengo, but by the Quarantia, forty men who constituted Venice's highest judicial body. These forty were nominated by seven electors, aclaimed by the Arengo.
Participation in the Concilium became hereditary in 1297, in an event called the Serrata, or "Sealing" of the council. The high judges of the Quarantia composed a list of families they considered "Acceptable", and each was allowed to send their male members over the age of 25 to the council. The Consilium ballooned from one hundred to one thousand members, and became the legislature of the Republic.