The article below is summary of second part of a three part article written by M. S. Srinivasan on Culture and Economic development published by Fourth Dimension Inc.

M.S. Srinivasan is a Research scholar at Sri Aurobindo Society, pursuing studies and research in various fields of knowledge as a part of the spiritual discipline for inner development. The main theme of his studies and research is to evolve an integral-spiritual approach to human development and its application to various fields of knowledge and activities of life with a dominant interest and focus on Management.

The article explores the economic and socio-cultural vision of ancient India, highlighting its balanced approach to material and spiritual progress. Contrary to the misconception that economics was undervalued, it was a significant part of governance and education, with entrepreneurship (Vaishyas) recognized as the key driver of prosperity. The emphasis was on spending, sharing, and giving, rather than accumulation, fostering philanthropy and redistribution for societal welfare.

Ancient India’s socio-economic model integrated economic prosperity (Artha) and enjoyment (Kama) as essential goals but subordinated them to moral (Dharma) and spiritual (Moksha) evolution. Dharma, the guiding principle of life and society, was seen as a preparatory step towards Moksha, the ultimate goal. This holistic vision contrasts with modern Western development models, which prioritize economic growth and material consumption (Artha–Kama) while neglecting cultural and spiritual dimensions.

Indian culture sought a balanced development of the four societal organs—Economy, Polity, Culture, and Labour-force—while prioritizing Dharma and Culture. Ancient civilizations shared this holistic view but differed in focus, with India emphasizing spirituality. The governing bodies were tasked with ensuring economic efficiency while progressing toward higher socio-cultural and spiritual goals. Development was envisioned as a simultaneous and gradual evolution of all societal dimensions, with adjustments based on the collective needs of each stage.