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Trusteeship and Economic Ethics
5.1 The Trusteeship Doctrine
Gandhi developed Trusteeship as a third way between predatory capitalism and revolutionary communism. The argument:
- God (Truth) is the true owner of all wealth
- Wealthy individuals merely hold wealth in trust for God/society
- Trustees must use wealth for social welfare, not personal accumulation
- In return, the state should not forcibly confiscate wealth (contra communism) but educate industrialists toward voluntary trusteeship
Gandhi's letter to industrialists: He urged Tata, Birla, and other Indian industrialists to be trustees, not mere profit-maximisers. The Birla family's support for Gandhi's causes (including his residence in Delhi at the time of his assassination) reflected partial acceptance.
Philosophical basis: Influenced by John Ruskin's "Unto This Last" (1860), which Gandhi read on a train journey to Johannesburg in 1904 and immediately resolved to act upon. He translated it as "Sarvodaya" (welfare of all).
5.2 Sarvodaya
Sarvodaya (Hindi/Sanskrit: sarva = all, udaya = rise) is Gandhi's social ideal derived from Ruskin — the good of all, especially the weakest:
| Utilitarianism | Sarvodaya |
|---|---|
| Greatest good of greatest number | Good of each — especially the weakest |
| Can sacrifice minority for majority | No sacrifice of any individual acceptable |
| Aggregative — totals matter | Distributive — worst-off matter most |
| Similar to Bentham/Mill | Similar to Rawls' difference principle |
Sarvodaya in practice: Gandhi insisted that economic growth should be measured by the condition of the poorest and most marginalised citizen — not GDP averages. This anticipates Amartya Sen's capability approach and the UNDP's Human Development Index focus on the poor.
Vinoba Bhave's Bhoodan Movement extended Sarvodaya through land distribution — voluntary gift of land by wealthy to landless — as a Gandhian economic programme.
