• The thoughts that are related to human life and their economic activities are called economic thoughts.
• These thoughts are about management of economy, production, revenue, distribution, employment, money, exchange, economic development, banking, solutions to financial and environment problems.
• Economic thoughts of many great thinkers in various countries have influenced decisions of state administration related to management of O resources, production, cost, distribution, etc.
• For example, following people highly influenced the economic thought process of the western countries:
• Adam Smith’s ideas provide insights into how wealth is created, distributed and exchanged.
• Prof. Alfred Marshall provided importance of keeping human welfare at the centre of decision making.
• Prof. Robbins gave ideas related to scarcity, problem of choice and optimum utilization of resources.
• Prof. Keynes provided a new direction to macroeconomics by giving principles regarding consumption, investment, employment and government intervention after the great depression of 1929-30.

Influence of economic thoughts in India:

• Economic ideology can also be seen in Indian scriptures such as ‘Shantiparva’ in ‘Mahabharat’, ‘Manusmruti’, ‘Shukra-niti’ and ‘Kamandikiya’.
• ‘Kautilya’s Arthshashtra’ stands first in Indian writings and thoughts related to economics.
• In India, large numbers of thinkers have influenced Indian economic thoughts right from the ancient times, to the medieval times to the present day. ‘Kautilya’ i.e. Chanakya, ‘Gandhiji’ and ‘Pandit Deendayal Upadhyay’ were among those few.