Democracy consists of rule of people on people. The route of democracy in the past led to creation of its modern legal new principles. Political democracy has a direct connection with economic democracy. the most important principles of economic democracy is public participation ,right to vote in selecting organizational management, equality ,good rule and releasing economy. Development is the result of economic democracy and democratic society steps toward democracy with the grant of economic freedom.While nondemocratic systems don’t have any development in the field of economy, but they involved in multiple economic and financial crimes.in this article within explanation about the concept of economic democracy and it’s legal principles, economic development is introduced as agoal for the modern societies that can be achieved as a result of democracy.