KAUTILYA’S ECONOMIC THOUGHT AND ITS IMPACT: A HISTORICAL AND CONTEMPORARY PERSPECTIVE

Kautilya, also known as Chanakya or Vishnugupta, was an eminent Indian economist, philosopher, and political strategist who lived during the 4th century BCE. Serving as the chief advisor to Emperor Chandragupta Maurya, Kautilya played a critical role in laying the administrative and economic foundations of the Mauryan Empire—India’s first major imperial power. His magnum opus, Arthashastra, stands as one of the world’s earliest comprehensive treatises on statecraft, economic governance, military strategy, foreign policy, legal systems, and social order. Unlike many ancient texts rooted in religious or moral instruction, the Arthashastra is grounded in pragmatism and realism, offering detailed policy prescriptions for the management of a kingdom’s economy and its subjects. This research paper aims to delve deeply into Kautilya’s economic thought, analyzing its core principles such as taxation, trade regulation, public finance, labour policy, agriculture, and welfare mechanisms. It explores how these principles were practically implemented during the Mauryan period and how they contributed to a centralized, stable, and prosperous state. Furthermore, the study critically assesses the long-term influence of Kautilya’s ideas on Indian economic philosophy and their resonance in the modern world. In particular, it examines the relevance of his economic insights in contemporary public administration, governance models, and policy-making frameworks, drawing parallels between ancient strategies and present-day challenges in state finance, market regulation, and welfare economics. Kautilya’s Arthashastra not only enriches our understanding of ancient Indian economic systems but also offers timeless lessons for modern economists, policy advisors, and administrative thinkers.