The paper deals with economic principles as found in the more ancient sources of the Vedic period in so far as this is possible. Unlike a particular application of a law which may well be affected by circumstances and thus appear to be different from place to place and lime to time, a principle has an unchanging, universal quality. Despite few economic terms used throughout the text like Land Value Taxation (which means simply taxing the value of land alone) there is nothing complex or complicated in this study and reading it does not require any training in Economics, By showing the relation of the Indic principles to certain modern concepts and particularly to Land Value Taxation the paper goes a long way in bringing into light many valuable economic concepts and practices supported by an institutional framework. Thus we meet the same concern about the distribution of wealth that occupies the mind of modem economists. How much does a man or a family need to earn and how much should be given to the royal treasury (i.e. the State) and how should these be determined? Or to put it in other terms, how should taxation be levied? Then, how should the State dispose of its revenue? Also, how should lending operate and what would be fair rates of interest?