gandhian economics-chhavi

8/8/2019 Gandhian Economics-Chhavi

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Gandhi was not an academic but a charismatic leader of the

INDAIN NATIONAL MOVEMENT. He was inspired by a mission of

Swaraj i.e. self-government.

His Economics was a part of this vision, which ruled out

industrialization on Western lines as the optimal path of economic

development for India.

What really differentiates Gandhis approach to economic issuefrom the mainstream tradition is his extraordinary emphasis on the

ethical aspect of economic behaviour. He believed that economic

and ethical questions were inseparable.

If DHARMA and ECONOMIC INTEREST cannot be reconciled,

either the conception of the dharma is false or the economic

interest takes the form of selfishness.


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An individuals welfare is best achieved not by

attempting to maximise the satisfaction of a multiplicity

of desires subject to the prevailing budget constraint but

rather by reflecting on his desires and trying to choose

between them.

Those who are in mad rush to multiply wants, thinking

that this will add to their real substance are mistaken.

The process of satisfy a multitude of wants has its own

costs. It requires the extensive use of machinery which

could lead to pollution to the environment and loss of

creativity in work.

Consumption behaviour: The

limitation of wants


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The objective of Gandhian Economics is to bring about

improvements in both the economic and moral well beingof individuals. But material progress can itself affect moral

standards.

Each person should be able to satisfy all natural wants

and no more. These are concieved as minimal or basicneeds.

These natural wants belongs transport and sanitation.

Roads should be scroupulously clean where nobody

need hesitate in walking or even sleeping in the street.

Everyone should have balanced diet and a decent house

to live in.


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Swadeshi Movement was to encourage people to

develop the habit of consuming Indian rather than

foreign products.

Neighbourhood principles: one cannot starve his

neighbour and claim to serve distant cousins in the

north pole.

Neighbourhood principles has direct consequence for

the interpretation of Swadeshi, namely that local

products should be preferred.


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Gandhis identification of Swadeshi with village industry

and with hand-spinning in particular, was based on a two

fold argument:

Urban population of India owed a special moral duty

towards the villages and that this duty would be best

discharged by providing a market for village products

and above all for hand-spun cloth.

Spinning was a solution for rural unemployment. For the

semi-starved but partially employed millions, spinning

provided a means of part time employment as well as an

insurance against femine. Thus Gandhi saw spinning asa supplementary industry for agriculture.


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The limitation of wants and Swadeshi both rest

ultimately on the concept of ethical preferences. Peopleshould seek not only to maximise satisfaction of self

interested desires subject to a budget constraint, but to

achieve the long-run goals both of individual happiness

and of helping others.


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Opposed the modern manufacturing production.

Machine has replaced human labour instead of increasing

efficiency.

Critical reason of unemployment. Mechanisation leads to concentration of production and

distribution in hands of few.

Rural people depend on the cities,thus swaraj could not be

achieved.

Industrial production concentrated in few urban centres.

Division of labour resticted the human skills.

Solution through production by the masses.


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Opposed the machinery which master us but the machine that

helps machine has a place.

for eg:sewing machine which supplemented human labour

and increase its efficiency. another is surgical instrument.

He opposed the use of machinery for grinding

corn,manufacturing cloth or ploughing field.

Prizes for the villages who are self-reliant. Industrialization should be in villages with CHARKHAplaying

in every home.this lead to employment.

Country with plenty of labour & little of capital must

concentrate on light industries and labour intensive techniques.


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Rationale of trusteeship-everything on earth belonged to and

was from god.

If an individual had more than his proportionate share of

wealth he became trustee for the people (society)

A proprietor who held his property as a trust could not pass it

on to the children by inheritance unless the latter agreed to

become trustees.

The concept of trusteeship was also applied to build industrial

relations i.e. cooperation rather than conflict. The mill owner should not treat labour as a means of earning

profit but rather as a partners in a common enterprise.


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Labour should also consider the mill in which they worked as

their own.

Unequal abilities.

Son of prominent leaders must use fair means and be a trustee.

Justified trusteeship with non-violence.


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Should be as true charity.

Exception to gandhian rules.

Consequences of charity must be seen from the

reciepients,donors &society at a large.

Practice SADAVARTA-An evil custom.

But allowed in few exceptional cases.

Disabled should taken to institutes financed by state.

For abled bodied poor-no free lunch.

Rule- no labour no free meal.


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` Free time enjoyed by person.

` For proper functioning of economy-every one able to enjoy

sufficiency of leisure.

` Leisure-goodandnecessary upto a point.

` Too much leisure could erode human faculties.

` Villageswaraj ample leisure.

` Can be voluntary-agriculturists or involuntary.

` Not in favour of industrialization.-greater output with reduced

working hours.


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` BREAD LABOUR

` A term borrowed from Tolstoy.

` Every employ should earn-basic necessities.

`

Distinction b/w physical & mental labour was lessfundamental than that b/w work and non-work.


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` trulyethical practices must be practical & should not lead toeconomic loss.

` Main focus on rural employment.

` Importance of decentralisation with limited degree which is bothpossible and desirable achieved through village industries.

` Opposed to price control and rationing .

` controls give rise to fraud ,suppression of the truth,intensificationof the black-marketing and to artificial scarcity.

` Swadeshi approach must be followed.

` Concerned for self-respect in the terms of limitation of wants,bread-labour,reservations about charity and cleanliness .

` Believed in work-motivation.

` Individuals must have a sense of autonomy and movement in theright direction.

gandhian economics-chhavi

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