India is not merely a geographic nation. It is a cultural platform, a spiritual compass, and a civilization that has shaped a dharma-centric way of life. The socio-economic journey of India can be viewed as a struggle between foreign ideologies and indigenous ways of living. In the 20th century, two dominant socio-economic systems Capitalism and Communism impacted the world and left their mark on India too. While India attempted to incorporate both models, they couldn’t align fully with its intrinsic nature and cultural ethos.
In contrast to these foreign economic frameworks, Indian civilization offers a timeless philosophy for social structuring, beautifully expressed in a shloka from the Mahabharata:
“Tyajedekam kulasyarthe
Gramasyaarthe kulam tyajet |
Gramam janapadasyarthe
Svatmārthe prithivīm tyajet ||”
(Mahabharata: 1.107.32)
Translation:
Abandon an individual for the sake of the family,
Abandon a family for the sake of the village,
Abandon a village for the sake of the country,
And abandon the worldly interest itself for the sake of the soul.
Interpretation:
The verse promotes a hierarchical ethical model:
- Individual needs may be sacrificed for the welfare of a family.
- Family interests can be set aside for the community (village).
- Local community for the state or nation.
- Ultimately, everything worldly can be sacrificed for the spiritual self (Atman).
This shloka illustrates the profound interconnection between individual, family, village, and nation in Indian thought. This philosophical approach has long guided the formation of Indian society, economics, and political objectives.
In Indian culture, the importance of the individual begins within the family. Our traditions regard the family as an institution where the role of the individual is crucial. The joint family system, respect for elders, mutual cooperation, sacrifice, and affection have all helped maintain strong family bonds. These deep relationships contribute to social stability.
In contrast, Western societies prioritize personal freedom and individual decision making over the family unit. Their predominant model nuclear families often lack strong social ties and is more fragmented in nature.
In India, the family is not just an emotional bond but also a fundamental economic unit. Many families run small businesses, engage in agriculture, and pursue traditional crafts to earn a living. Family members together contribute to various economic activities, making each household a microeconomic entity. Particularly in rural areas, each family often functions as a mini-industry.
Villages thus become the foundation of India’s economic structure. With a large number of villages, India’s agrarian lifestyle, self-employment, rural arts, and traditional skills play a significant role in national production. The development of villages directly strengthens the country’s economy. Leaders like Mahatma Gandhi firmly believed that “India lives in its villages.” This belief is well-founded that self-sustained villages empower the nation.
Looking at this historically, British economic historian Angus Maddison offers compelling insights. He analysed global economic progress from the 1st to the 20th century and highlighted India’s dominant role in the world economy. According to his study, from the 1st century until 1700, India contributed nearly 25–33% of the global GDP, making it the leading economic power. In 1700, India held a 24.4% share of the world’s wealth which is eight times more than Britain at that time.
This prosperity was largely built on rural-based systems: self-sufficient villages engaged in agriculture, pottery, weaving, and trade. Every family functioned as a self-contained economic unit. India’s fine products like Muslin from Bengal, Pashmina from Kashmir, and Cotton from Tamil Nadu were globally renowned. Indian villages were once hubs in a globalized economy.
However, this system was devastated by British colonial rule. As Maddison notes, by 1947, India’s GDP share had plummeted to just 3%. British policies systematically crippled India’s economic strength by suppressing native crafts, banning Indian products, and forcibly promoting British goods. This was not just economic deterioration but it also shattered the entire chain of strength from individual → family → village → nation.
Here, Maddison’s analysis can be connected with Vidura’s shloka. When the principle of sacrifice for collective good is lost, national prosperity declines. For India to be reborn economically, this spirit of selflessness must be reawakened at the individual level.
The Indian government, recognizing this, has launched initiatives like “Atmanirbhar Bharat” (Self-Reliant India), “Vocal for Local”, and “Startup India” under Prime Minister Narendra Modi. These reflect a contemporary response to Maddison’s insights and emphasize a rural-centric economic vision.
The shloka cited above promotes a “bottom-up model” of development. Here, growth starts at the individual level and moves upward through the family, the village, and society towards nation-building. When the individual is nurtured with values and a sense of responsibility, it manifests as strong families, empowered villages, and ultimately national well-being.
Mahatma Gandhi also envisioned village self-governance, believing that social dharma originates from personal dharma. Modi’s governance reflects this belief with focused attention on rural development.
Contrast with Western “Top-Down” Approach
This Indian model sharply contrasts with the Western top-down perspective, where development begins at the government level and filters down through policies. The individual is not seen as an active participant but rather as a subject of regulations. In models like the European Union or the United States, the individual becomes primarily a “voter” or “taxpayer” rather than a holistic contributor.
In contrast, the Indian bottom-up model sees the individual as a complete being, a dharmic citizen, and an integral contributor to society. The shloka supports this bottom-up philosophy economically and spiritually.
Conclusion
To conclude, the Indian way of life builds society from the individual → family → village → nation. The core principle of this structure is sacrifice. Only when individuals transcend personal interests for the greater good can a nation achieve sustainable strength. To truly embrace this, we must move forward with responsibility as individuals, families, and communities and revive the dharma-driven spirit of India’s civilizational ethos.
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