Ahmedabad: Referring to the traditional Hindu varna system of social division, Bibek Debroy, chairman of the economic advisory council to the Prime Minister, said it very misunderstood. Debroy’s MICA Leadership Series lecture was on ‘Why We Should Read Epics? Governance Lessons from the Mahabharata and Ramayana’ at the Mudra Institute of Communications Ahmedabad (Mica) on Tuesday.
“The word varna has a nuance based on complexion. According to the Bhagwad Gita, someone will be Brahmin, Kshatriya because they are good at governing. A vast majority will be Vaishyas, as they are good at business and the rest Shudras. All based on one’s proclivities, inherent attributes, interests and qualities. It is a classification based on functional specialization and exists in every society. Adam Smith called it division of labour. The examples are countless.”
Further describing the decentralized system of governance he says was prevalent in India, Debroy said, “If we look at the depiction of the governance structure, the king was supposed to ensure law and order, external and internal security, judicial process and protection of property rights. We should remember this and rediscover this whenever we expect the government to do many different things.”
Referring to the tax system in the Manusmriti, he said, “The rate of interest per month for Brahmins, Kshatriyas, Vaishyas and Shudras goes in ascending order, with Brahmins paying the lowest and Shudras the highest. When you read various texts, there is also the argument that Brahmins will borrow limited sums of money and perform yagyas. Kshaytriyas will draw larger sums of money and go out on their conquests, the outcome of which is uncertain. Vaishyas will buy ships and go on voyages and the outcome is uncertain. The rate of interest therefore only reflects a risk premium.”
He also spoke of the role of the community and individuals in skill development, ensuring fair trade and regulating restrictive trade practices and development, instead of the government. Debroy elucidated why this decentralized system of governance is not prevalent today. “The system of governance was borrowed from the British partly and it was a period of partly centralized planning. Besides, recognition also needs familiarity. Over a period of time, people are no longer familiar with what these texts conveyed,” he said.
The chairman of the EAC to the PM, also spoke about how the Ramayana and Mahabharata did not define dharma in a metaphysical sense for an individual but also ‘swadharma’ i.e. one’s sense of what is right or wrong.
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