[Pramāṇa](https://indike.org/pramana/) › [Studies](https://indike.org/pramana/ins) › [Polity, law and society](https://indike.org/pramana/ins.polity) › [The State in Ancient India: A Study in the Structure and Practical Working of Political Institutions in North India in Ancient Times](https://indike.org/pramana/ins.polity.prasad-1928) › c8.62 # The State in Ancient India: A Study in the Structure and Practical Working of Political Institutions in North India in Ancient Times c8.62 The State in Ancient India: A Study in the Structure and Practical Working of Political Institutions in North India in Ancient Times c8.62 - **Language:** English ### [c8.62](https://indike.org/pramana/ins.polity.prasad-1928.c8.62) Gautama, like Vasiṣṭha, prescribes five mâṣas for twenty kârṣâpaṇas as the rate of interest which, according to the commentator Haradatta, works out to 15 p.c. per annum.² For some articles, however, such as gold and flavouring substances, Gautama admits higher rates of interest.³ He recognises no less than six forms of interest, \*viz.\*, compound interest, periodical interest, stipulated interest, corporal interest, daily interest and the use of the pledged article.⁴ He remarks that when the principal has been doubled, interest ceases and that when the article pledged is used by the creditor, the loan bears no interest at all.⁵ - [Previous: c8.61](https://indike.org/pramana/ins.polity.prasad-1928.c8.61) - [Next: c8.63](https://indike.org/pramana/ins.polity.prasad-1928.c8.63) - [Up: c8](https://indike.org/pramana/ins.polity.prasad-1928.c8) --- Source: [https://indike.org/pramana/ins.polity.prasad-1928.c8.62](https://indike.org/pramana/ins.polity.prasad-1928.c8.62) · Pramāṇa