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Krṣṇa, the Supreme Personality of Godhead
like nails and hair comes out from the living body is not a very sound argument. Nails and hair are undoubtedly inanimate, but they come not from the animate living being, but from the inanimate material body. Similarly, the argument that the scorpion comes from cow dung, meaning that a living entity comes from matter, is also not sound. The scorpion which comes out of the cow dung is certainly a living entity, but the living entity does not come out of the cow dung. Only the living entity's material body, or the body of the scorpion, comes out of the cow dung. The sparks of the living entity, as we understand from  Bhagavad-gītā , are impregnated within material nature, and then they come out. The body of the living entity in different forms is supplied by material nature, but the living entity himself is begotten by the Supreme Lord. The father and the mother give the body which is necessary for the living entity under certain conditions. The living entity transmigrates from one body to another according to his different desires. The desires in the subtle form of intelligence, mind and false ego accompany the living entity from body to body, and by superior arrangement a living entity is put into the womb of a certain type of material body, and then he develops a similar body. Therefore, the spirit soul is not produced from matter, but it takes on a particular type of body under superior arrangement. To our present experience, this material world is a combination of matter and spirit. The spirit is moving the matter. The spirit soul (the living entity) and matter are different energies of the Supreme Lord. Since both the energies are products of the supreme eternal or the supreme truth, they are therefore factual; they are not false. Because the living entity is part and parcel of the Supreme, he is existing eternally. Therefore, there cannot be any question of birth or death. So-called birth and death occur because of the material body. The Vedic version  sarvaṁ khalv idaṁ brahma  means that since both the energies have emanated from the Supreme Brahman, everything that we experience is not different from Brahman.
There are many arguments about the existence of this material world, but the Vaiṣṇava philosophical conclusion is the best. The example of the earthen pot is very suitable: the form of the earthen pot may be temporary, but it has a specific purpose. The purpose of the earthen pot is to carry water from one place to another. Similarly, this material body, although temporary, has a special use. The living entity is given a chance from the beginning of the creation to evolve different kinds of material bodies according to the reserve desires he has accumulated from time immemorial. The human form of body is a special chance in which the developed form of consciousness can be utilized.