Economics of Kautiliya Shukra and Brihaspati.pmd

Inroduction
Trade and commerce was the third important pillar of ancient
economy. According to Kautilya, public prosperity (Pracharsmridhi),
reward for good conduct (Charitranugraha), capture of thieves
dispensing with (the service of too many) government servants,
abundance of harvest, prosperity of commerce, absence of troubles
and calamities (Upasargapramoshah), diminution of remission of taxes,
and income in gold (Hirarnaayam) are all conducive to financial
prosperity. (Kautilya’s Arthashastra,1967, 8.2)
In this chapter we shall examine the state’s role to promote
trade and commerce for the economic prosperity as described by
Kautilya and Shukra. At the same time we shall analyze their policies
of trader’s security and consumer’s protection.
Economic Prosperity
CHAPTER FOUR
TRADE AND COMMERCE
Economic prosperity has been regarded as the equally
indispensable element of life by all the thinkers. Not only Kautilya but
Shukra and Brihasapti also have given much importance to economic
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resource. They say that the first 25 years of life should be devoted to
study books and exercise sports and then acquisition of wealth should
be started. But at the same time they suggest that regular rites should
not be neglected when the time is devoted to earn money.
Brihaspti gives greatest importance to economic prosperity
by saying that the person, who is prosperous, has friends, righteousness,
knowledge, merit,prowess and intelligence. (Brihaspati-sutra,1929
6.6). He says.' As an elephant is caught by other elephant similarly
wealth is acquired by wealth'. (ibid, 6.9)
He gives emphasis to possess advantages because sovereignty
belongs to the person (ruler) who possesses the advantages of
knowledge, wealth, and friends. (ibid, 2.1-3) To earn public wealth
ancinet scholars have suggested to develop the three sectors of the
economy- agriculture, cattle farming, and commerce. (Brihaspatisutra,
1929, 2.4, Shukranitisar, 2008, 1.156, Kautiliya
Arthashastra, 2003, 1.4.1)
Role of State in the Development of Trade and Commerce
Ancient thinkers were of the view that state should perform
for the economic prosperity of the general public. This will strengthen
the central authority. The political unity without economic prosperity
is meaningless and will not keep for long. For this Kautilya has suggested
the state to build rest houses and store houses for the caravans of
traders for whom police escorts were recommended.
There was free trade in those days in the country. Tolls, duties
and customs were realized for revenue purposes and not to control
foreign trade. The state was also advised to undertake the manufacture
of those commodities for which a monopoly was desirable and to sell
them through departmental agencies. It should be remembered in this
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