Prout is the acronym for the Progressive Utilization Theory, which was first introduced by Indian philosopher, P.R. Sarkar (1922-1990) in 1959. Prout is a balanced economic approach, focusing on meeting basic human needs of food, clothing, shelter, education and medical care, while making efficient utilization of the world’s resources. It strikes a balance among individual initiatives, social and governmental control, sustainability and overall human progress.

Prout strongly recommends eliminating income disparities, because, if someone accumulates too much wealth, it might be at the expense of others. Businesses need to have accountability to the society and the environment. While businesses need to make a profit, profiteering is discouraged. Prout has a unique three-tiered economic model, outlining business ownership and governance structure for the benefit of the society at large. (see details in Economic Democracy section)

The Prout economic model is based on 100% employment. It promises guaranteed employment for every able-bodied individual. It is different from socialism or communism in that it proposes people’s compensation based on their knowledge, skill and abilities. It supports a merit based system. While Prout will guarantee equal educational and other opportunities, it is up to  individuals to make the most of those opportunities. In addition to full employment, Prout guarantees basic necessities for all.

Prout will also continuously strive to improve the standard of living for all, and to make the most efficient utilization of the world’s resources for the benefit of all.

Is it possible to achieve these lofty goals while striking these balances? It is possible only if the leadership is in the hands of people who have strong ethical values. According to Prout, only those with true character can be in a position of power;  power is to be used for the welfare of the society and the environment and not for personal gain, which is very different from the socio-political structure of today.

PROUT is a new socio-economic paradigm in which the welfare and development of all human beings, as well as non-human beings, in harmony with Nature and natural resources, has a primary value. PROUT is a vision of society in which our highest ethical values are expressed in our economic and social institutions. PROUT deeply examines what society and the economic system may begin to look like when we include the welfare and maximizing the potential of all people, with the full development of natural resources, while utilizing them in harmony with each other, in harmony with the environment and the natural world.

Including a new vision of economic development offered as an alternative to capitalism and communism, PROUT draws parallels from various movements and new, more harmonious, sustainable practices: bio-regionalism, deep ecology, economic decentralization, economic democracy, collaboration and coordination in distribution of resources, cooperative economies, self-reliant community institutions and development. It also offers new insight and perspective on ethical and transparent leadership, and the necessity of local economic sovereignty, and developing purchasing power as a key principle in overcoming and limiting economic and social inequities.