The edition is a comprehensive and critical examination of the economic system prevailing in India during the ancient period which is one of the oldest and complicated into in ten chapters. First chapter deals with the research methodology applied in study of economic history; historical evolution of material culture is discussed in second chapter, third chapter describes intellectual advancement and material progress; fourth chapter focuses on agrarian and mercantile economy of the Indus Civilization; process of Aryans settlement and their economic progress has been studied in fifth chapter however sixth chapter examines economic background of the epic society; seventh chapter describes theories and practices of Buddhist economy; eighth chapter deals with Mauryan politics and political economics; ninth chapter examines economic regulations and industrial development under the Gupta rule; and economic life under the Harsha rule is explained in last chapter. The new edition would be an invaluable asset for the graduates and post-graduates students as well as academicians, researchers and teachers of history and economics.