The Arthashastra - Kautilya

Chanakya/Kautilya and Machiavelli both gave most profound and most practised philosophies of Statecraft, Governance and International Politics. Chanakya who lived many centuries before Machiavelli has entered Indian vocabulary as the equivalent of 'Machiavellian' . While Machiavelli wrote ‘The Prince’ for Lorenzo di Medici of Florence during Renaissance around 14th century AD, Chanakya authored ‘Arthashastra’ for Chandragupta Maurya in the late BC/early AD - exact time period is unknown. Machiavelli propounded the importance of Secular nature, i.e, separation of Roman catholic church from politics while Chanakya advises King to follow dharma and religion both and have in fact put King below Dharma ‘righteaousness’ while Machiavelli puts King above everything. Both have been compared to one another - the unknown to the known.

From the Penguin Classics, this version of Kautilya's 'The Arthashastra' is edited, rearranged and introduced by L.N. Rangarajan; dedicating the book to R. Shamasastry who discovered the test and translated it first and R. P. Kangle's whose work was used as the authoritative work for this translation. Preface begins with how both Kautilya the preceptor and his masterwork the Arthashastra are much misunderstood.

The great aims of human endeavour have been classified as being four - Dharma (moral behavior), Artha ( wealth), Kama ( worldly pleasure) and Moksha ( salvation). Artha follows Dharma and Kautilya's Arthashastra can be looked at as a valuable document which throws light on the state and society in that time, whether it be 300 B.C or 150 AD or Kautilya can be regarded as a great preceptor of statecraft, whose teachings have a universal validity. It is a practical work, covering how to form alliances, how to attack a powerful king, how to deal with revolts in the rear, what tricks to play on gullible people - presumed to be implemented then.

The source of livelihood of men is wealth. Wealth of a nation is both the territory of the state and its inhabitants who may follow a variety of occupations. The state or government has a crucial role to play in maintaining the material well-being of the nation and its people. Therefore, an important part of Arthashastra is 'the science of economics/politics', including starting productive enterprises, taxation, revenue collection, budget and accounts. The aim of pursuing successful economic policies, particularly through productive enterprises, is also to increase the revenues of the state and appropriate the surplus for the state treasury. A king with a depleted treasury eats into the very vitality of the citizens and the country. If he impoverishes his own people or angers them will lose loyalty [7.5.27]. A balance has to be maintained between the welfare of the people and augmenting the resources of the state. This presupposes maintenance of law and order and adequate administrative machinery.

Part I

Introductory Section

"This Arthashastra is a compendium of almost all similar treaties composed by ancient teachers, on the acquisition and protection of territory. (1.1.1)"

"The people of a society, whatever their varna or stage of life, will follow their own dharma and pursue with devotion their occupations, if they are protected by the king and the just use of danda (coercion and punishment) (1.4.16)"

" The source of the livelihood of men is artha (wealth); that is to say, the territory (and the inhabitants following various professions) is the wealth [of a nation]. The science by which territory is acquired and maintained is Arthashastra - the science of wealth and welfare. [15.1.1.1]

Knowledge has four branches, philosophy, Vedas, economics and the science of government. Philosophy is the lamp that illuminates all sciences, it provides the techniques for all action; and it is the pillar which supports dharma.

The auxiliary sciences are phonetics, ritual, grammar, etymology, prosody and astronomy.

The three Vedas are most useful because they establish the respective duties of the four varnas and the four stages of life. The four stages of life are that of a householder, Brahmachari, Vanaprastha (forest recluse), and Parivrajaka (a wandering ascetic).

Duties common to all are Ahimsa, Satyam, cleanliness, freedom from malice, compassion and tolerance.

CONFLICTS: Four methods to deal conflict are: Sama, Dana, bheda and danda i.e. adopting a conciliatory attitude, placating with rewards and gifts, sowing dissension among enemies and using force.

Part II


The State and its Constituent

" Kautilya says: There cannot be a country without people and there is no kingdom without a country" [13.4.5]

" The value of a land is what man makes of it" [7.11.9.]

" In the interest of the prosperity of the country, a king should be diligent in foreseeing the possibility of calamities, try to avert them before they arise, overcome those which happen, remove all obstructions to economic activity and prevent loss of revenue to the state" [8.4.50]

This covers the qualities required by different people, how to deal with calamities and adversities. It is important to know of people's vices because they are the cause of personal adversities. Vices are due to ignorance and indiscipline; an unlearned man does not perceive the injurious consequences of his vices.

The main vices are Anger and Desire.

Three kind of vices are due to anger and four due to uncontrolled desire. Of the two, anger is worse because it knows no boundaries. It is wel known that angry kings have often been killed by popular fury, whereas greedy and lustful kings have perished by disease, poverty or enemy actions.

The three kind of vices arising from anger are inflicting verbal injury, causing injury to another's property and inflicting physical injury. Injuring another's property includes: not giving what is due, taking away unjustly, destroying it and neglecting entrusted property. Anger makes one the object of hatred, creates enemies and brings suffering on oneself.

The four vices springing from excessive desire are addiction to hunting, gambling, women and drink. Excessive greed and lust bring about humiliation, loss of wealth and association with undesirable persons.

Excessive desire leads to the cultivation of evil things while anger causes the abandonment of good things. Since both results in multitude of evils, both are classified as calamities. One need to exercise self-control.

Part III

The King

Often used to signify the state. The three science (philosophy, the three Vedas and economics) are dependent for their development on the science of government.

The sole aim of all branches of knowledge is to inculcate restraint over the senses. Self-control, which is the basis of knowledge and discipline, is acquired by giving up lust, anger, greed, conceit, arrogance and foolhardiness. Living in accordance with the shastras means avoiding over-indulgence in all pleasures of hearing, touch, sight, taste and smell.
It describe the duties of The King, Kings security, ever present dangers like - revolts/rebellions/conspiracies and treason, succession, regency,

Per Kautilya people will naturally obey a high-born king though he is weak, because a man of nobility has a natural capacity to rule. Furthermore, people frustrate the intrigues of the low-born, however strong he may be, because, as the saying goes: 'Where there is love, one sees all the virtues in the beloved'.

Part IV

The Well Organized State

" A king can reign only with the help of others; one wheel alone does not move (a chariot). Therefore, a king should appoint advisers (as councillors and ministers) and listen to their advice."

"The root of wealth is economic activity and lack of it brings material distress. In the absence of fruitful economic activity, both current prosperity and future growth are in danger of destruction."

This deals with how land and roads should be, how a king should choose his Councillors and ministers. Also the chapter on aspects of the economy gives details of agriculture, different industries and types of economic activities. It also gives guidelines on customs regulations comsumer protection.

Part V

Treasury, Sources of Revenue, Budget, Accounts and Audit

If receipts and expenditure are properly looked after the king will not find himself in financial difficulties. Sources of revenue are:
1) Income from crown property (agricultural land), mining and metallurgy, animal husbandry, irrigation works,
2) Income from state controlled activities like manufacturing industries like textiles, food items, liquor, leisure activity
3) Taxes in cash and in kind, including customs, cess, royalty and surcharges
4) Trade
5) Fees and service charges
6) Miscellaneous covering interests, aids, presents, foreign affairs, court cases, savings, fines, special levies, donations,

Accounts are to be properly maintained and audited.

Part VI

Civil Service Regulations

Part VII

The Department's of the Government

Part VIII

Law and Justice

The idea of justice and punishment is same - punishment in proportion of crime. Dandaniti of Chanakya.


"Judge shall discharge their duties objectively and impartially so that they may earn the trust and affection of the people" (3.20.24)

Judge was called 'dharmastha' - upholder of dharma'. Ultimate source of all law was Dharma.

The subject covers both civil law called ' Concerning upholder of dharma' in book 3 and criminal law including Penal code in book 4 called 'The removal of Thorns' i.e elemination of antisocial elements.

Prevention of crime is an aspect of maintenance of law and order.


Part IX


Covert Operations


"Miraculous results can be achieved by practising the methods of subversion"

The creation of a secret service, with spies, secret agents and specialists such as assassins, was a task of high priority for the king, so also the testing of the integrity of appointed ministers. This applies to both men and women. The chancellors and the security too had network of spies. The could be as monks, householders, merchants or ascetics both brahminical and non brahminical.

This includes Magic, illusion and occult as well.

Part X

Foreign Policy

"The welfare of a state depends on an active foreign policy" [6.2.1]

The state is not a monolithic entity but with 6 internal constituents - the king, the ministers, the fortified city, the countryside, the treasury and the army.

The six methods of foreign policy are - Making peace, waging war, staying quiet, preparing for war, seeking support and adopting a dual policy - i.e. making peace with one and war with other.

All these six methods are interdependent.


Part XI

Defence and War

"To be in accordance with dharma, the place and time of battle must be specified beforehand" [10.3.26]

Even after acquiring any new territory, dharma must be followed and in case not; it has to be implemented.

For a mighty king the cycle of acquisition by conquest is a recurring process; the eventual objective being chakravarthikshetram - the area of operation of the king-Emperor - which as per 9.1.18 is the area extending from the Himalayas in the north to the sea (in the south) and a thousand yojanas wide from east to west is the area of operation of the king-Emperor this area is the whole of Bharatavarsha i.e. The Indian, Sub-continent. The last verse in this translation, reiterates that the King-Emperor shall rule in accordance with dharma.

Verse 1.13.5-10 ' When there was no order in society and only the law of jungle prevailed, the made Manu, the son of Vivasvat, their king.

The book from translation by R.P. Kangle's who based his writings from palm leaf manuscript about 300 years old, is not the original text.

A Science of Living.