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BG Chap 13 - The way all beings take birth

All entities, whether moving or non moving, high or low, appear from the combination of the field of activities (matter) and the knower of the field (jīva). They arise from the combination of the two knowers of the field with prakṛti. The Lord, controlling the jīva and prakṛti, puts them in motion. Jīva and prakṛti then mutually bind themselves up. The ‘creation’ of the living entities in this universe takes place by the appearance of their material bodies.