Ronald Syme in The Roman Revolution (1939) writes that "Neglect of the conventions of Roman political terminology and of the reality of Roman political life has sometimes induced historians to fancy that the Principate of Caesar Augustus was genuinely Republican in spirit and in in practice – a modern and academic failing. Tacitus and Gibbon knew better." Here are Tacitus and Gibbon in their own words:
Tacitus (Annals 1.2):
[1.2] When after the destruction of Brutus and Cassius there was no longer any army of the Commonwealth, when Pompeius was crushed in Sicily, and when, with Lepidus pushed aside and Antonius slain, even the Julian faction had only Caesar left to lead it, then, dropping the title of triumvir, and giving out that he was a Consul, and was satisfied with a tribune's authority for the protection of the people, Augustus won over the soldiers with gifts, the populace with cheap corn, and all men with the sweets of repose, and so grew greater by degrees, while he concentrated in himself the functions of the Senate, the magistrates, and the laws. He was wholly unopposed, for the boldest spirits had fallen in battle, or in the proscription, while the remaining nobles, the readier they were to be slaves, were raised the higher by wealth and promotion, so that, aggrandised by revolution, they preferred the safety of the present to the dangerous past. Nor did the provinces dislike that condition of affairs, for they distrusted the government of the Senate and the people, because of the rivalries between the leading men and the rapacity of the officials, while the protection of the laws was unavailing, as they were continually deranged by violence, intrigue, and finally by corruption.
Gibbon (Decline and Fall, Chapter III):
Situation of Augustus.
Every barrier of the Roman constitution had been levelled by the vast ambition of the dictator; every fence had been extirpated by the cruel hand of the Triumvir. After the victory of Actium, the fate of the Roman world depended on the will of Octavianus, surnamed Caesar, by his uncle's adoption, and afterwards Augustus, by the flattery of the senate. The conqueror was at the head of forty-four veteran legions,(1) conscious of their own strength, and of the weakness of the constitution, habituated, during twenty years civil war, to every act of blood and violence, and passionately devoted to the house of Caesar, from whence alone they had received, and expected, the most lavish rewards. The provinces, long oppressed by the ministers of the republic, sighed for the government of a single person, who would be the master, not the accomplice, of those petty tyrants. The people of Rome, viewing, with a secret pleasure, the humiliation of the aristocracy, demanded only bread and public shows; and were supplied with both by the liberal hand of Augustus. The rich and polite Italians, who had almost universally embraced the philosophy of Epicurus, enjoyed the present blessings of ease and tranquillity, and suffered not the pleasing dream to be interrupted by the memory of their old tumultuous freedom. With its power, the senate had lost its dignity; many of the most noble families were extinct. The republicans of spirit and ability had perished in the field of battle, or in the proscription. The door of the assembly had been designedly left open, for a mixed multitude of more than a thousand persons, who reflected disgrace upon their rank, instead of deriving honour from it.(2)…
Character and policy of Augustus.
The tender respect of Augustus for a free constitution which he had destroyed, can only be explained by an attentive consideration of the character of that subtle tyrant. A cool head, an unfeeling heart, and a cowardly disposition, prompted him, at the age of nineteen, to assume the mask of hypocrisy, which he never afterwards laid aside. With the same hand, and probably with the same temper, he signed the proscription of Cicero, and the pardon of Cinna. His virtues, and even his vices, were artificial; and according to the various dictates of his interest, he was at first the enemy, and at last the father, of the Roman world.(26) When he framed the artful system of the Imperial authority his moderation was inspired by his fears. He wished to deceive the people by an image of civil liberty, and the armies by an image of civil government.Note 026
As Octavianus advanced to the banquet of the Caesars, his colour changed like that of the Camelion; pale at first, then red, afterwards black he at last assumed the mild livery of Venus and the graces (Caesars, p. 309). This image employed by Julian, in his ingenious fiction, is just and elegant; but when he considers this change of character as real, and ascribes it to the power of philosophy, he does too much honour to philosophy, and to Octavianus.