Source : Webster's Revised Unabridged Dictionary (1913)

Democracy \De*moc"ra*cy\, n.; pl. {Democracies}. [F.
   d['e]mocratie, fr. Gr. dhmokrati`a; dh^mos the people +
   kratei^n to be strong, to rule, kra`tos strength.]
   1. Government by the people; a form of government in which
      the supreme power is retained and directly exercised by
      the people.

   2. Government by popular representation; a form of government
      in which the supreme power is retained by the people, but
      is indirectly exercised through a system of representation
      and delegated authority periodically renewed; a
      constitutional representative government; a republic.

   3. Collectively, the people, regarded as the source of
      government. --Milton.

   4. The principles and policy of the Democratic party, so
      called. [U.S.]

Source : WordNet®

democracy
     n 1: the political orientation of those who favor government by
          the people or by their elected representatives
     2: a political system in which the supreme power lies in a body
        of citizens who can elect people to represent them [syn: {republic},
         {commonwealth}] [ant: {autocracy}]
     3: the doctrine that the numerical majority of an organized
        group can make decisions binding on the whole group [syn:
        {majority rule}]