Dedication

This book is dedicated to my mother and my inspiration " Baidehi Kumari", who instilled values, and a rational way of living life in me and has supported me throughout my life.

Contents

Preface

1. Ancient Age

2. Vedic Age

3. Age of Buddha

References

Abou The Author

Preface

This book, Money, Wealth, and Inequality — Book I: Economic History of Ancient India, was written with a single purpose: to understand how the economic foundations of early Indian civilization shaped the structures of wealth, inequality, technology, and social organization that continue to influence the subcontinent today.

For centuries, discussions of ancient India have been dominated by mythology, incomplete interpretations, or narratives that obscure the material realities of life. This work attempts to bridge that gap by placing archaeological evidence, economic logic, and historical continuity at the center of analysis. The story of ancient India is not a tale of static perfection, but one of continuous innovation — from the chipped stones of the Paleolithic period to the polished craftsmen of the Neolithic, from the metallurgists of the Copper Age to the urban planners of the Indus Valley, and from the pastoral economy of the Rig Vedic age to the agrarian transformations of the Brahmana period.

This book is the first in a multi-volume series exploring how economic systems — tools, technology, trade, property, money, and institutions — evolved over thousands of years and shaped human experience. The aim is not merely to list historical facts but to reconstruct how people lived, worked, produced, traded, governed, and imagined their world.

My hope is that readers will find in these pages a clearer understanding of our economic past — not as a distant memory, but as a living foundation for the present. The forces that shaped ancient societies still operate today: control over resources, technological change, organization of labor, and the persistent tension between wealth creation and social inequality.

May this book ignite curiosity about the long arc of Indian economic history and encourage deeper, evidence-based exploration of our shared past.

Amrit Kumar

Ancient Age

3.1 The Paleolithic Period – The Reality of Early Human Life

3.1.1 Introduction: Challenging the Myth of a Blissful Past

There is no scientific evidence for the poetic idea that ancient humans lived in a blissful state without any problems or death. Instead, the facts show that the first humans in India and elsewhere were rough and wild, living in harsh conditions with little shelter or comfort. They did not know how to take care of animals, grow crops or make things. They survived by hunting, fishing or gathering wild plants, but they often faced food shortages. They did not own land or have much specialization of work. They did not have any metal or pottery. They only used tools or weapons made of wood, stone or bone.

The Paleolithic period, spanning approximately 2.6 million years to 10,000 BCE, represents the longest chapter in human history and the foundation upon which all subsequent civilizations were built. Yet archaeological evidence comprehensively contradicts romanticized conceptions of primitive life as peaceful or abundant. Life was precarious, violent, disease-ridden, and short.

3.1.2 Stone Tool Technology: The Primary Archaeological Evidence

3.1.2.1 The Dominance of Stone in the Archaeological Record

The most abundant and durable evidence of Paleolithic life in India consists of stone tools. These implements represent the primary technological achievement of the period and provide crucial insights into the capabilities, behavior, and adaptations of early human populations. Stone tools were "carefully chipped into different shapes for various purposes," demonstrating sophisticated understanding of fracture mechanics and intentional design.

The predominance of stone tools in the archaeological record is not due to their exclusive use but rather to their exceptional preservation. Tools made from wood and bone, which were likely equally important, have largely decayed due to India’s tropical climate and the action of termites and other decomposers. Bone tools are exceptionally rare in Indian Paleolithic contexts, with notable exceptions at sites like the Kurnool caves in Andhra Pradesh, where environmental conditions favored preservation.

3.1.2.2 Chronological Development of Tool Types

Lower Paleolithic (2.6 million – 200,000 years ago): The earliest phase is characterized by large, heavy tools including hand-axes, cleavers, choppers, and spheroids. These implements, associated with the Acheulian cultural tradition in peninsular India and the Soanian tradition in the northwest, represent the "core tool" industry, where tools were shaped by removing flakes from large stone nodules. Hand-axes—pear-shaped bifacial tools—were multipurpose implements used for butchering animals, processing wood, and digging. Cleavers, with their distinctive transverse cutting edges, were likely used for heavy-duty cutting tasks.

Middle Paleolithic (200,000 – 40,000 years ago): This period witnessed a technological revolution with the adoption of the Levallois technique, a sophisticated method of core preparation that allowed for the production of predetermined flake shapes. Middle Paleolithic assemblages include a wider variety of specialized tools: scrapers (for processing hides and wood), points (for hafting onto spears), borers, awls, and knives. These tools were generally smaller and more refined than their Lower Paleolithic predecessors, reflecting increased technological sophistication.

Recent discoveries at Attirampakkam in Tamil Nadu have demonstrated that Middle Paleolithic technology emerged in India as early as 385,000 years ago—far earlier than previously thought and potentially contemporaneous with similar developments in Africa. This finding suggests either independent innovation or the presence of earlier hominin dispersals into South Asia than conventional models propose.

Upper Paleolithic (40,000 – 10,000 years ago): The final Paleolithic phase is characterized by blade technology and microlithic industries. Blades—elongated flakes with parallel sides—were struck from specially prepared prismatic cores using punch techniques. These blades were further modified into specialized tools including backed blades, burins (engraving tools), scrapers, and geometric microliths. The shift to smaller tools represents increased efficiency in raw material use and the development of composite tool technology, where multiple elements were combined to create specialized implements.

3.1.2.3 Raw Materials and Regional Variations

Paleolithic tool-makers in India exploited locally available stone resources, with quartzite being the most common raw material for Lower and Middle Paleolithic implements. Quartzite, a durable and fine-grained metamorphic rock, was ideal for producing large bifacial tools such as hand-axes and cleavers. In regions where quartzite was unavailable, tool-makers adapted by using alternative materials: limestone in the Bhima basin, dolerite and basalt in Maharashtra, and fossil wood in Bihar and Bengal.

During the Middle Paleolithic, there was a shift toward fine-grained rocks such as chert, jasper, chalcedony, and agate, which allowed for more controlled flaking and the production of smaller, more specialized tools. Upper Paleolithic assemblages show a further shift, with chalcedony becoming the predominant raw material for blade and microlith production.

3.1.3 Tamil Nadu: Archaeological Epicenter of Indian Paleolithic Studies

3.1.3.1 Robert Bruce Foote and the Discovery of Indian Prehistory

The recognition of Tamil Nadu’s prehistoric significance began with Robert Bruce Foote’s groundbreaking discovery in 1863. On May 30, 1863, at Pallavaram (now part of Chennai), Foote identified India’s first Paleolithic stone tool—a hand-axe made of quartzite. This discovery was revolutionary, as it established for the first time that Stone Age cultures had existed in India, challenging European assumptions about the antiquity of human presence in Asia. Four months later, on September 28, 1863, Foote and his colleague William King discovered additional Paleolithic tools at Attirampakkam, approximately 60 kilometers from Chennai.

Foote’s meticulous documentation and systematic approach to archaeology laid the foundation for all subsequent prehistoric research in India. His cataloging of artifacts, detailed field notes, and international networking established Tamil Nadu as a focal point for Paleolithic studies. Today, Foote is remembered as the "father of Indian prehistory" due to his pioneering contributions.

3.1.3.2 Major Paleolithic Sites in Tamil Nadu

Attirampakkam: Located in the Kortallaiyar River basin approximately 60 kilometers northwest of Chennai, Attirampakkam is arguably India’s most important Paleolithic site. Archaeological investigations spanning more than 150 years have revealed a continuous sequence of human occupation from the Lower Paleolithic through the Upper Paleolithic, with the oldest artifacts dating to between 1.5 and 1.7 million years ago.

Recent excavations using advanced dating techniques (cosmic ray exposure dating and post-infrared stimulated luminescence) have produced revolutionary findings. The site contains evidence that Middle Paleolithic Levallois technology emerged in India approximately 385,000 (±64,000) years ago—more than 200,000 years earlier than other Indian sites and potentially contemporaneous with similar developments in Africa. This discovery challenges conventional models of human technological evolution and suggests that advanced tool-making capabilities were more widespread than previously recognized.