A comparative study of Ancient and Modern economic thought and achievement of welfare state

Abstract

Adam Smith is the father of Economics and the founder of systematic way of approach to the study of Economics. An inquiry into the Nature and causes of the Wealth of Nations by Adam Smith in 1776 introduced the basic principles of Economics. However, many economic concepts and the ideas were found in the write ups of great ancient Indian philosophers and Buddhist thinkers of 16th to 18th century. An eminent philosopher of Mauryan Empire Kautilya (Chanakya) introduced comprehensive economic thoughts in his book Arthashastra. Under his guidance the Mauryan empire became famous for its stable public administration, economic growth and social welfare. The principles mentioned by him is still relevant. Classical and modern economists followed Chanakya’s principles, vision and concept of welfare state. The in-depth study of ancient philosophy and thought is imperative to incorporate it in the modern perspective. The researcher attempts to dwell into Kautilya’s economic and political theories on taxation, financial management, economic systems, national income calculation, and population census, property rights and discuss its relevance even today.