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This chapter focuses on a conceptual understanding of democracy and values education in teacher education, taking the perspective that education, of necessity, must encompass broader purposes of qualification, socialization and subjectification and that the relationship between them is characterized by interdependence. This chapter analyzes two aspects of teacher quality: first, the importance of values and the understanding of and approaches to values and democracy; second, variations in conceptual understandings within a particular educational field (teacher education). The study maps what teacher educators and institutional leaders for teacher education programs have to say about democracy and values education in relation to teacher preparation given the context of democratic education reforms in the postwar period. This chapter addresses issues such as the readiness among teachers to teach democracy and values as an overarching and qualitative aspect of the teaching profession. This study finds that, on the one hand, there is strong curricular support for democracy and related values education in schools and, on the other hand, a mixed landscape in teacher education. The situation within teacher education suggests an embracement of these issues but with a high degree of conceptual ambiguity and vagueness.