Relevance of Kautilya’s Arthashastra in Modern Economics

The "Arthashastra" by Kautilya is essentially a text about state administration. There are fifteen books in the Arthashastra. The first five of them deal with internal administration, the following eight deal with ties with neighbouring nations, and the latter two are of an ad hoc nature. Kautilya's Arthashastra placed emphasis on two overarching goals: resource maximization and optimal management. This essay makes an effort to connect his economic theories from the fourth century B.C. with their contemporary applications. The entire study demonstrates that Kautilya's economic theories are founded on specific scientific foundations. A wonderful example of establishing rules for state management is Arthashastra. His economic theories are still relevant today. Therefore, this great leader and philosopher deserve a special place among the greatest economic thinkers in history.