Economics 2 Marks Each

• Gandhiji did not give any economic method or Gandhism like any Economist.
• He was inspired by many philosophers; religious books etc and he presented his thoughts for solving Indian problems in context of world.
• Gandhiji's simple way of life in social, economic and political terms is frequently known as 'Gandhism'.
• He did not intend to create Gandhism or any economic method is in words, "there is nothing like Gandhism and I do not want to leave behind any religion.
• I do not claim that I have discovered any new theory or ideology.
• I simply tried to apply the eternal truths as solutions to life's routine problems.
• " According to him to thought of economic policy should not be separated from social and ethical problems.
• Gandhiji envisioned a person with overall development instead of economic man and so he presented the idea of 'Sarvodaya'.

• Kautilya opined of developing villages and cities for the creation of Statehood.
• State should take the responsibilities of developing transportation, communication and financial transactions for the development of cities.
• All these facilities encourages the development of factories, mines and other skill industries.
• It is the duty of the state to help in this time.
• Warehouses should be constructed for the development of trade and commerce.
• Provisions should be made of protecting business employment for development of cities.

While establishing a state, the king should provide basic resources for development, make continuous efforts for the development of agriculture and industry as well as, excavate mines, develop forestry, cattle rearing and markets, as also open up import-export trade avenues. The king should aid in constructing water reservoirs for farming, temples and ‘dharamshalas’. Teachers, priests and soldiers must be exempted from taxes during natural calamities helpless farmers must be looked after by the king

• Gandhiji was born in a city of Gujarat named 'Porbandar'.
• His name is Mohandas Karamchand Gandhi.
• He left his profession as an Advocate and played an important role of Socialist.
• That is why he is known as 'Mahatma Gandhi'.
• His contribution, in making India free form the slavery of Britishers, was invaluable.
• That is why he is called 'Father of the nation'.
• He was strong willed, ideal visionary and implementer of his thoughts into reality.
• He emphasized on religion and ethics in individual and social life.
• He was a follower of truth and non- violence.
• He made appreciable efforts for eradicating untouchability, prohibition on alcohol, communal unity, woman awareness etc.
• He insisted morality and he tried to presented economics in the context of morality.
• He gave various concepts like 'Sarvoday', dignity of labour, decentralized economy, use of machines, simplicity and non-possession and trusteeship doctrine. He made a huge contribution in Indian independence through non-violence.

• Gandhiji was against mechanization.
• Instead of maximum production, he advocated maximum production with maximum hands.
• He advocated small and cottage industries for maximum production and for giving employment to maximum people.
• He believed that in a country like India where there is scarcity of capital and surplus of labour and problem of unemployment in rural areas, development of small and cottage industry is the only option.
• These industries can be developed at low capital and can be developed in villages.
• Decentralization of economy can also be made possible. So Gandhi advocated use of 'Charkha' and 'Khadi' instead of using mill cloth.

• In Capitalist Economy, there is a centralization of economic power & it creates imbalance.
• In socialism, state is whole & soul and administrators harms' the le society.
• To remove problems of both economies, Gandhiji presented doctrine of trusteeship.
• Gandhiji was not against keeping the private property.
• He was against the limitless use of private property.
• So, to restrict the use of private property, he gave the principle of trusteeship.
• According to Gandhiji everyone should behave as trustee instead of owner.
• He believed in restricted use of private property for personal use, which is granted by the society.
• He should act as a trustee for excess property and it should be used for social welfare.
• Among private sector, public sector and trusteeship, he gave highest importance to trusteeship because it can act as a best option between capitalism and socialism.

• Kautilya presented his economical and political thoughts keeping in mind the 'Magadh' state and Chandragupta Maurya.
• He believed that if a person has strong and prosperous statehood then is can help in state's administration and management.
• He thought in depth about every aspect which is essential for the formation of a strong and prosperous state and presented his view in detail.
• Around third century, he accompanied Chandragupta Maurya in establishing a country with strong and prosperous economy based on morality, to end the tyrant rule of last king of Nanda dynasty "King Dhananand".