If by capitalism one means “free market exchanges and production through the use of privately owned capital”, then indeed capitalism destroys jobs -- those jobs that are made redundant by increasing the productivity of labor. Imagine an economy which only produces food, and the only input to food is labor. Further imagine that the productivity … Continue reading Does capitalism destroy jobs?
The following is an extended edited excerpt from Arthur Ryder's introduction to his translation of the Panchatantra. What's the book about? Ryder begins his introduction with: "The Panchatantra contains the most widely known stories in the world. If it were further declared that the Panchatantra is the best collection of stories in the world, the assertion … Continue reading The Panchatantra — Textbook of Niti
Asking "Did Britain impoverish India?" is like asking "Is water wet?" Of course, Britain impoverished India during their rule as the colonial masters of India. To extract wealth from a colony and exploit its people is the primary motivation for colonization. Expecting the colonial masters to be a benign, self-sacrificing force is delusional. Colonization is not … Continue reading Did Britain Impoverish India?
To understand the relationship between producing, consuming, saving and investment, it is useful to start with a simple story. Imagine a Robinson Crusoe economy -- just one person in it. RC's consumption is limited to what he can produce by fishing, hunting and gathering. He allocates his time either laboring or enjoying leisure. If he … Continue reading Saving and Investment