[Advaita-l] Interest Collection is Wrong according to Dharma?

[Ranga Rathnam]

I presume your ultimate interest in asking this question was whether a certain act ( in this case charging interest) is conducive to getting into pravritti marga or nivritti marga.

That was a really nice article and thanks for the pointer. The key observation in the article is

".....it causes a rise in the demand for money that the Fed will almost certainly accommodate–and rightfully so, for refusing to do so almost always serves to punish those already in the weakest position."

So it is the Fed (I will call it Central bank so as not to be country-specific) is what actualizes inflation; and it need not be confined to the four pre-conditions (not causes really) prevailing. For example how about printing money to meet the deficit arising because of loan waiver to a section of the society? ... and so on.

Worse still, what if the Central Bank is not strong enough to to ensure that it benefits the weakest section, but a powerful lobby?

The point is a person depending upon who his Central Bank is and what is his perception on it is obliged to take a position on inflation; which means worrying about the morrow and bang goes nivritti marga out of the window!

Of course in happy circumstances in which inflation is used to subsidize nivritti marga ( can happen in countries with a dominant religion), it could be opposite!

Manu Smriti or any other Smriti which does not address the socio-economic reality, is to that extent irrelevant in providing a consistent supportive model.

So, the bottom line seems to be, "how do I judge whether an action of mine pushes me into pravritti marga or nivritti marga?"

Any simple answers??

Regards
Rangarathnam

> Date: Fri, 5 Jul 2013 21:34:22 +0530
> From: vmurthy36 at gmail.com
> To: advaita-l at lists.advaita-vedanta.org
> Subject: Re: [Advaita-l] Interest Collection is Wrong according to Dharma?
> 
> Namaste
> How inflation happens is understood. There will be four causes. Market
> Power like the greedy Middle East oil countries. Demand rising. Suddenly if
> people want to buy more and more gold the gold price will increase. Asset
> Market Boom. Speculators can make the commodity futures prices to increase.
> The commodity prices will also increase. Sudden Supply cut. If oil refinery
> is damaged by Natural disaster it will make oil prices to increase.
> http://www.forbes.com/sites/johntharvey/2011/05/30/what-actually-causes-inflation/
> 
> In Manu's time there was no sudden demand and sudden supply cut. People
> were Dharmic and doing Yajnas and pleasing Gods. They were not greedy to
> earn more and more wealth. They had good supply of food grains. There was
> no Monopoly business like oil producing countries. There was no commodity
> future trading and stock markets. In Manu's period the Inflation was ZERO.
> He has not said anything on Inflation because it was zero.
> 
> I heard USA also has lot of oil resources but they are waiting till the
> Middle East oil is over. Then they will sell Oil for huge profit.
> 
> 
> 
> On Fri, Jul 5, 2013 at 8:48 AM, Ranga Rathnam <sranga1955 at hotmail.com>wrote:
> 
> > I presume this means 5% interest. Is this real rate of interest
> > http://en.wikipedia.org/wiki/Real_interest_rate
> > or something else?
> > What is Manu Smriti's position on inflation? :-)
> >
> > > Date: Thu, 4 Jul 2013 21:56:50 +0530
> > > From: vmurthy36 at gmail.com
> > > To: advaita-l at lists.advaita-vedanta.org
> > > Subject: Re: [Advaita-l] Interest Collection is Wrong according to
> > Dharma?
> > >
> > > Namaste Sri Sriram
> > >
> > > In Chapter 10 Manu Smruti -
> > >  117. Neither a Brahmana, nor a Kshatriya must lend (money at) interest;
> > > but at his pleasure (either of them) may, in times of distress when he
> > > requires money) for sacred purposes, lend to a very sinful man at a small
> > > interest.
> > >
> > > The Brahmin must not give loans with interest to anyone except a very
> > > sinful man. But who is following this rule now. They are charging heavy
> > > interest for every person. The Brahmin must not have desire for earning
> > > huge wealth.
> > >
> > >
> > > In Chapter 8 -
> > > 151. In money transactions interest paid at one time (not by instalments)
> > > shall never exceed the double (of the principal); on grain, fruit, wool
> > or
> > > hair, (and) beasts of burden it must not be more than five times (the
> > > original amount).
> > >    152. Stipulated interest beyond the legal rate, being against (the
> > law),
> > > cannot be recovered; they call that a usurious way (of lending); (the
> > > lender) is (in no case) entitled to (more than) five  in the hundred.
> > >
> > > They are not following this also today.
> > >
> > >
> > > On Thu, Jul 4, 2013 at 11:09 AM, Venkata sriram P
> > > <venkatasriramp at yahoo.in>wrote:
> > >
> > > > Namaste,
> > > >
> > > > Pls refer 155th sloka of 8th chapter and 117th sloka of 10th chapter
> > from
> > > > manu smriti.
> > > >
> > > > regs,
> > > > sriram
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> > >
> > > --
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> > >
> > > -Venkatesh
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> 
> 
> -- 
> Regards
> 
> -Venkatesh
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