s called for the "magic circle" of Westminster to be broken and the views of "ordinary people" to be heard, as the first ballot papers in the leadership contest are due to go out.
The party leader said he would encourage "decision-making for the millions not the millionaires" as he addressed Labour supporters in north London at a leadership rally.
Mr Corbyn said workers "in factories, in call centres, in local authorities" had ideas about how to change the economy, but were "frustrated that nobody is listening to them".
"The principle of democracy has to be ground up," he said, as he urged supporters to vote to re-elect him as Labour leader.
"It is about breaking open this magical circle of Westminster, some of our great universities, Whitehall and the boardrooms who try to control thinking, control ideas and control the way policy is developed."
Mr Corbyn has also vowed to strengthen trade union bargaining powers introduce new collective and individual rights in the workplace.
The first ballot papers in the Labour leadership contest between Mr Corbyn and Owen Smith are being sent out today.
More than 640,000 Labour Party members and supporters will be eligible to vote, the party has said.
Mr Corbyn's latest proposals appeared designed to strengthen his support among his powerbase of grassroots activists who swept him to the leadership in last year's contest.
But Mr Smith did receive a major boost over the weekend with London Mayor Sadiq Khan urging Labour members to ditch Mr Corbyn and support the former work and pensions secretary.
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