The document discusses the concept of 'Divine Economics', which emphasizes the importance of dignified labor and the distribution of wealth as a human right necessary for peace and prosperity. It critiques the current economic systems and highlights the need for reforms that focus on humanity's collective well-being, including food security and economic literacy. The author argues for a shift in values to promote global citizenship and the understanding that human potential can flourish when basic needs are guaranteed.

1. DIVINE ECONOMICS
- By P. Kant 5th May, 2020

2. AGENDA
 Introduction to Divine Economics
 Politics today, Economics tomorrow
 Capitalism & Democracy
 Motherland & Mother Earth
 Accumulation of Labor & Wealth
 Money Economy & Currency
 Fiscal budgeting, Taxation & Stock Market
 Welfare of All – The goal of economics

3. Introduction to Divine Economics
 Global economics today is not facing the problems of accumulation of wealth but
rather it's biggest worry today is the accumulation of labor.
 We all are independent but still we are dependent on others for our food.
 As per today’s economics until & unless our efforts in the form of physical labor,
intellectual labor are not paid in the form of money; we won’t have food.
 The gap & disparity between rich and poor, hungry and food wasters are distinct today
witnessed by human race.
 Distribution of wealth neither by philanthropy nor by charity but through dignified
work given as a human right rather than value for labor is the solution for peace,
prosperity & living dignified life.
 The Right to Life as guaranteed by Article 21 of the Constitution of India gives right to
every human being to live a life of dignity with access to at-least bare necessities of
life. To provide food security to impoverished persons is the bounden duty of all States
and Governments.

4. Politics today, Economics tomorrow
 The WHO declared pandemic has already caused nations of the world to seek
collaboration, medical & technical assistance & financial aid from each other &
International Monetary Fund (IMF) in order to brace themselves to combat this
disaster.
 The International Monetary Fund (IMF) is an organization of 190 countries, working to
foster global monetary cooperation, secure financial stability, facilitate international
trade, promote high employment and sustainable economic growth, and reduce
poverty around the world.
 Isn’t it time ripe enough for the human race as a whole to collectively think for itself &
make the world a better & safe place to habitat paving the way for a healthy & wealthy
world order?
 Industries such as agriculture, horticulture & food processing industries, garments,
pharmaceutical industries could easily be facilitated & set-up with the help of PPPs.
 PPP is Public Private Partnerships wherein the land & the related equipment could be
purchased by the government & the local population of the village could be brought
into entrepreneurship creating jobs as well as enterprise in the rural regions.

5. Capitalism & Democracy
 Capitalism is an economic & political system in which country’s trade & industry are
controlled by private ownership of the means of production and their operation for
profit rather than by state.
 Central characteristics of capitalism include capital accumulation, competitive markets,
a price system, private property and the recognition of property rights, voluntary
exchange and wage labor.
 The term “Democracy “ first appeared in about 5th century BC in ancient Greece as a
political & philosophical thought in the city state of Athens.
 In greek demokratia means “Rule by people”.
 The American political scientist Larry Diamond states democracy consists of 4 key
elements.
1. A political system for choosing & replacing the government through free & fair
elections
2. The active participation of the people, as citizens, in politics & civic life
3. Protection of the human rights of all citizens
4. A rule of law

6. Motherland & Mother Earth
 It is the need of the hour to identify ourselves as global citizens rather than citizens of
particular nation or territory.
 DE focuses its economic vision on this global identity & makes one feel for the human
race, the globe as whole & then solve existing problems of entire world.
 It is said only when the complete is known or considered can a solution be found &
implemented. Implementing solutions in fragments, bits & pieces shall only stitch
small patches of the large torn blanket.
 DE sees wealth as power & health as the charger which generates this power.
 Dr.R.P.Parnerkar states that “Man is not a social being but he is a self being.”
 Human life can be studied with in depth of its various dynamic aspects if we study
culture & civilization.
 Bhutan calculates its Gross National Happiness leading it to call Kingdom of Happiness.
 India, which was referred to as the golden sparrow, through its culture, spirituality,
system of politics, governance in last millennial.

7. Motherland & Mother Earth
 The basic point of distinction between the west & the East was that, in the West,
civilization developed first, which was followed by its economic development and then
came social set-up along with culture whereas in the East, the social set-up along with
cultural values took roots first & then came along the economic development &
civilization.
 DE states that if human race collectively aspires to become the world leader, it needs
to secure its cultural values.
 If human values are preserved, nourished & allowed to develop & grow the whole
world would transform itself into the best place to habitat.
 For eg. Our festivals which we celebrate as our cultural values give us an opportunity
to move the wheel of economy. As we buy various things to celebrate those festivals
we are investing our money in various sectors, industries & rotating our money with
happiness to boost its growth & wealth creation.

8. Accumulation of Labor & Wealth
 According to Karl Marx, labor power is “The aggregate of those mental & physical
capabilities existing in a human being, which he exercises whenever he produces a
use-value of any description.”
 Land received its rents & revenue
 Capital employed into enterprise received its interest
 The entrepreneur secured his/her profits
 Only labor due to its many inherent differences & nuances felt deprived
 Advancements in technology have the capacity to replace any number of existing labor
force.
 As technology rapidly evolves into ML, AI, millions of workers & employees would no
longer be required at their jobs, workplaces.
 No work means no pay & no pay means millions of people may pushed into poverty,
hunger & starvation. What is then that can solve this problem?

9. Accumulation of Labor & Wealth
 Determination of value of labor is a solution to this problem.
 Dr. R. P. Parnerkar states- “Demand for labor is capital”. Thus if there is demand for
labor then only will the economic wheel turn & only then capital be created from it.
 Accumulated labor is of no use if there is no demand for it in the market.
 He goes a step further & states- “Human Life itself is an economic activity.” and de-
links the concept of food from that of labor.
 He radically puts forth that man shall not become lazy if food as a basic necessity be
offered to him free of cost! Instead he correctly reasons that if man’s basic necessities
are secured his productivity would rather increase!
 For eg. A man who works in a secured environment free from any kind of fear,
performs much more than what he would perform in a dangerous environment where
his fear knows no bounds.
 Once man’s basic necessities are met thus, not only does he perform better but also
works more free willed & self-inspired.

10. Accumulation of Labor & Wealth
 This also enables him to unleash his talents & creative abilities inspiring his brain to think
creatively.
 Today’s man has confined himself to the rat race & is caught between the fangs of earning
his daily bread & butter leaving with him no spare time to develop & nurture his creative
prowess & virtues.
 Malnutrition & starvation continue to be major problems for the world especially in Africa.
 Today’s parents too are interested in making their children successful bread earners rather
than all round successful individuals.
 Success in fact now measured singly in monetary terms thereby destroying the very
intricate nature of human capabilities.
 If food could be guaranteed to man as a human right, new endeavors could be made by
man to expand his creativity, his prowess for making the world a better place to live.
 If human life itself is considered as an economic activity & if on birth of every child the
world is able to apportion a quantity of food for him till his death only then can true
human potential be brought out of his life & would turn the wheel of the economy
manifold.

11. Money Economy & Currency
 What is money?
 Answer is the English word money is originated from temple of Juno Moneta in Rome.
The name "Juno" may have derived from the Etruscan goddess Uni (which means "the
one", "unique", "unit", "union", "united")
 Human have history of practicing barter-like methods of exchange for goods & service
at least 1 lac years ago.
1. Lack of double coincidence of wants. It means, both the parties have to agree to sell and
buy each others' commodities.
2. Valuations of all the goods cannot be done easily.
3. There are certain products which cannot be divided.
 The 4 functions of money.
1. A medium of exchange
2. A unit of account or measure
3. A store value
4. A standard deferred payment

12. Money Economy & Currency
 Seigniorage - profit made by a government by issuing currency, especially the
difference between the face value of coins and their production costs.
 Identity – Metallic currencies (coins) began to appear in societies by governments,
rulers & kings began to mint them by placing a mark on gold, silver which served as a
guarantee of their weight & purity.
 Paper which was first introduced in China during Song Dynasty which in monetary
economics called as flat money.
 Flat in latin means “let it be done”.
 Flat money has zero or nil intrinsic value but cent percent psychological value.
 Fiduciary money which includes cheques & bank drafts is another form of money.
 Counterfeit money or fake currency is the imitation currency produced without legal
sanction of government.
 Hyperinflation of Germany 1923 caused the more money that the government printed,
the more the money became worthless.
 Demonetization – The current form or forms of money are pulled out, from circulation
& retired often to be replaced with new coins or notes.

13. Money Economy & Currency
 Demonetization has been used as a tool to stabilize a currency to fight inflation, to
facilitate business and trade and access to markets, and to push informal economic
activity into more transparency & away from black & grey markets.
 Remonetization – Its just converse wherein status of legal tender is restored on
previously demonetized currency.
 Currency value – Its determined by country’s exports is more than the amount spent
on imports, surplus foreign currency would gather in its reserved thereby also
increasing country’s currency value.
 The Pound Sterling was once for a long time, the preferred currency for global foreign
transactions, but was gradually replaced by US Dollar which continues to dominate
much of the world’s trade even today.
 Inflation – general increase in prices & fall in the purchasing value of money.
 How to grow more money?
 Answer is suppose you have 1000 dollars & you spend these on buying luxury items or
going on shopping spree then these will spent. However same 1000 dollars if invested
into business, the 1000 dollars can be converted into 2000 dollars over a period of
time.

14. Money Economy & Currency
 The rotation of money multiple times is the key to building wealth.
 Mathematically it is said every dollar earned by you should be rotated through
transactions at least 9 times before it is finally spent.
 This would give true meaning to the medium function of currency!
 Hoarding stashes of cash is putting the store function into use which is deteriorated by
inflation & psychologically also impacts man who develops greed, envy, arrogance,
undue possessiveness.
 दानं भोगो नाश: तिस्त्रो गियो भवन्ति ववत्तस्त्य ।
यो न ददाति न भुङ्क्िे िस्त्य िृिीया गतिभभवति ।।
 Money has three fates –
1. It is either given away in charity
2. It can used for enjoying and indulging in pleasures
3. It is destroyed

15. FISCAL BUDGETING, TAXATION &
STOCK MARKET
 A government budget is a document prepared by the government presenting its
upcoming revenues & proposed spending for the upcoming financial year.
 Fiscsal policy is the government’s policy to tax and to spend
 DE states that its important that man realize which activities are in essence bonafide &
genuinely required to nourish, enrich his life & living also which activities are needed
to be immediately stopped, prevented from destroying human existence.
 Role of monetary economics, to ensure that the money generated in the economy is
put to the right use and ensure the overall wellbeing of the human race.
 Currency & its unrestricted , unwarranted use coupled with greed, envy & urge to
usurp power has unleashed a Pandorra’s box of problems in the global economy.
 Economic illiteracy
 Inflation , another major problem in the world economy can be controlled to a great
extent by reducing

16. FISCAL BUDGETING, TAXATION &
STOCK MARKET
 He also states the fact that India which occupies just 2.4% of the total land area of the
earth has the capacity to feed over half of the world’s population viz. 16.7 percent of
the world population.
 Thus food is abundant in this world, and the earth has within its capacity to feed every
person born on this earth for his/her entire lifetime.
 Economic literacy like civic literacy should be taught to middle and high school children
as a compulsory subject in their academics.
 Author of DE also had the interaction with Dr.Deepak Mohanty, executive director at
the head office of RBI in Mumbai when Dr.Deepak awarded the prestigious Dr. R. P.
Parnerkar Memorial Award in Economics.
 Dr.Mohanty too stressed the need for economic literacy & the importance of teaching
the masses the fundamental principles propounded by Dr. R. P. Parnerkar.
 This can be achieved by economists, thinkers, officers, directors who retire from the
financial, economic literacy to school children in rural India.
 Man has to learn true use of money, the ways of earning & spending intelligently so he
can gain control over his life which has been controlled by money

17. WELFARE OF ALL
 8.7 million species that inhabit this earth and its atmosphere of which homo sapiens or man
is just one of those species but perhaps most important.
 This has been nature’s gift to this planet that there is enough food, water, air & energy(light)
for every species that existed, exist & would exist on this earth.
 What is then that man is not able to get rid of hunger & starvation off the face of this earth?
 Answer to this question lies in 3 key points
1. Resources
2. Capacity
3. Willingness
 Willingness of man to deploy the earth’s naturally available & free air, water, energy &
food for the benefit of one & all has been rusted by his greed for power & profits.
 It is the need of the hour to bring reforms in this universal science, in its principles &
theories, in its ideas & objects that shall serve the cause of the entire humanity & the whole
human race fundamentally!
 The Book Available here https://www.amazon.de/-/en/P-Kant-ebook/dp/B088PY4XKG

18. Thank You !
Q & A