Hindu Economics by Professor M.G. Bokare
The first edition of the now famous work of Professor M.G. Bokare “ Hindu Economics” was published on 19th February , 1993 now nearly 16 years from the present date . It in many ways is the seminal book based on which an argument for an alternate to the present economic scenario is made, and , rightly so . However , it does seem apparent that the dissent from the present economic scenario remains as it was then “on paper” . We as a movement of nationalists are far away from actually devising policy and or methodology to actuate the visions of a “third way”.
The context of “Hindu Economics”
A short paragraph about Professor Bokare
- Hindu-economics (Eternal Economic Order) (First edition 1993, Second edition 2009)
- Islamic Economics (1995)
- The Economic Theory of Sarvodaya (1985) (English)
- Sarvodayacha Arthik Siddhant (Translated in Marathi by Prof. N B Vaidya of
) 2005 Nagpur
- Reassessment of Marxism (first edition 2006, second revised edition 2006)
- Let the Fittest Survive (2007)
- Gandhivadi Arthashastra (in Marathi- 2008)
- Expenditure-Based-Income Tax
- Stagflation-Its cure
- Swadeshi Economics- Principle and Practice
- Farmers’ Problems and Solution – in Marathi. (Edited by Prof. N B Vaidya)
He also went on to become the Vice Chancellor of Nagpur University and became attached to a number of educational institutions . He was the founding Convenor of the Swadeshi Jagran Manch on 22nd November , 1991 and was responsible in formulating the basic principles of the Manch as well as attempting to create an ideology of alternative economics which though grounded in the ideology of
The first part was by Dattopant Thengadiji , who wrote a foreword called “ Quo Vadis” ( latin for “Where are you going ?”)which attempts to crystallize thoughts of Hindu / Bharatiya economics in precise and specific policies and which I think should be the basis of another writing / article . In many ways , the long foreword was altogether a different book and an independent treatise in itself on the conception of Bharatiya Economic Theory and it’s practical application to
The second part of the book was the book now famously known as “Hindu Economics” written by Professor Bokare , on the theory of economics which would be inspired by the eternal ways of
The ideas of Hindu Economics
The second was his concept that the tax burden had to be severely reduced , since that would be the only way through which further production can be incentivised , which would result in greater employment of the people . He believed that the tax burden should be progressively reduced .He is of the view that the budget is to be financed by printing notes , that is through deficit financing.
The third was his concept that it was incumbent upon the state to provide interest free loans to all people , since this would help in incentivising production and setting up and creating wealth , without imposing a huge burden on those creating wealth . In a very interesting observation Professor Bokare actually observes that this will actually help in the diffusion of technology and encouragement of self employment and give people a real and valid option of being an entrepreneur .
Some of the other ideas that Professor Bokare discussed in his book were :
(a) the theory of self employment : he says that the best way to have an efficient economy would have to be based on a large number of self employed people since as he so rightly points out that incase most people are self employed and therefore not dependent on others , therefore there is very little chance of class conflict within society . He is of the view that the self employed worker / farmer does not exploit any one and is not exploited by anyone. According to him this is the fundamental difference between a Hindu Economy and Western methods of analysis of economies whether capitalist or socialist. What is most notable however is that he presciently observes that this Hindu Economy is self sustaining no doubt , but at all times it is subject to the political system ( Raj Niti) and the punitive legal system ( Danda Niti) not having swerved from the path of Dharma.
(b) A very interesting suggestion of making the workers owners of the company , by allowing them to hold the shares of the company and ensure that the said shares always remain with the workers and are not owned by people who do not have a stake in the company . He was clearly therefore against the stock exchange and the dealing in shares.
(c) A very interesting thought that a Hindu economy will be family based and being family based will be inherently limited to extension of the family and will not have the downsides of the western “capitalist” market system .
(d) He calls for a strict implementation of the laws and regulations and a very thorough rigorous enforcement of laws even with the help of an active secret service , something which he believes is essential to have a functioning Hindu economy .
(e) He also calls for application of appropriate technology in the economy , which he says would be a direct result of a family oriented economy.
His immediate suggestions for short term measures :
He suggests some immediate measures to change the course of the economy :
(1) immediate scrapping the laws which create monopoly that is joint stock companies , intellectual property laws and trade unions .
(2) the norms of Niti Shastra should be made to permeate all society specially the judiciary .
(3) Disregard of rules , laws and regulations should be immediately penalized .