yatha vastuni kalpitah
Translation by His Divine Grace A. C. Bhaktivedanta Swami Srila Prabhupada:
Divisions of generalization and specification, such as nationality and individuality, are the imaginations of persons who are not advanced in knowledge.
Purport by His Divine Grace A. C. Bhaktivedanta Swami Srila Prabhupada:
Actually there are two energies — material and spiritual. Both of them are ever-existing because they are emanations from the eternal truth, the Supreme Lord. Because the individual soul, the individual living entity, has desired to act in forgetfulness of his original identity since time immemorial, he is accepting different positions in material bodies and being designated according to many divisions of nationality, community, society, species and so on.