Economic Governance in Ancient India: Revenue Collection and the State

Abstract: The current research paper examines the concept of economic governance in ancient India presented by Kautilya’s Arthashastra with special reference to revenue system and administrative machinery of the State. Kautilya’s Arthashastra considers revenue not only a taxation source but as a well defined structure that connects all possible sources of the State for well managed governance. Through an organized network that include superintendents, collectors, spies and accountants, the King’s administration was able to monitor income sources, prevents misappropriation of assets, ensure responsibility and accountability and maintain work order. The study also considers highlighting how Kautilya’s Arthashastra integrates economic patterns with discipline and penalty and also presents to highlight the systematic model of governance where revenue collection was associated with welfare, social security, market regulation and supervision.