Deen Dayal Upadhyaya outlined the objectives of Indian Economy to be:
An assurance of minimum standard of living to every individual and preparedness for the defense of the nation.
Further increase in the standard of living of the individuals and wealth of the nation, so that nation as a whole and individuals acquire the means to contribute to the world progress.
To provide meaningful employment to every able bodies citizens by which the above two objectives can be realized.
To avoid waste and extravagance in utilizing natural resources.
To develop suitable machines for Bharatiya conditions (Bharatiya Technology) taking note of the availability and nature of the various factors of production (Seven 'M's).
This system must have the objective of helping human beings. The system is for the progress of the individual through their life stages, child hood, grihastashram, retired life and sanyas.
The system must protect the values of life. This is a requirement which cannot be violated except at a risk of great peril.
Ownership of the production facilities can be by state, private corporate sector or any other form and the ownership form of various industries must be decided on a pragmatic and practical basis.
Deen Dayal stated that "Swadeshi" and "Decentralization" are the two words which can briefly summarize the economic policy suitable for the present circumstances. Centralization and monopolization have been the order of the day for all these years, knowingly or unknowingly. The planners have become prisoners of a belief that only large-scale centralized industry is economic and hence without worrying about its ill-effects, or knowingly but helplessly, they have continued in that direction.
The present government has deviated from the path of "Swadeshi" developed during the freedom movement. The concept of "Swadeshi" is ridiculed as old fashioned and reactionary. The use of foreign articles is increasing. We have grown over independent upon foreign aid in everything from thinking, management, capital, methods of production, technology, etc. to even the standards and forms of consumption. This is not the road to progress and development. We shall forget our individuality and become virtual slaves once again. The positive content of "Swadeshi" should be used as the cornerstone of reconstruction of our economy.
Many old institutions will yield place to new ones in economic progress. This will adversely affect those who have vested interests in the old institutions. Some others who are by nature averse to change will also suffer by efforts of reconstruction. In an individual, disease must be treated with medicine. Strength can be gained only from exercise and hard work. Economic strength of society also needs exercise and treatment of diseases of the economic system. Therefore, we have to discard the status-quo mentality and usher in a new era. Our efforts at reconstruction should not be clouded by any problems or weaknesses that are inherited from our past. We have to give regard to our best traditions. On the other hand, there is no need to cling to past institutions and traditions which have outlived their utility. We must be ready for change where change is required.
We hve to reconcile nationalism, democracy, socialism and world peace with the traditional values of Bharatiya Culture and think of all these ideals in an integrated form. The conflict among these ideals can be removed by creative thinking of individuals, groups and intellectuals and they can be made to exist and serve the society for its progress. By taking up such a policy, developing accompanying programmes and implementing them successfully, we will help Indians to gain his the lost status in the worl also and attain the aims of their life". This will set a role model for countries and we help the mankind by providing an integrated human organism patterned economic system.
Based on Deen Dayalji's Lecture
http://deendayalupadhyay.org/leacture4.html
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