He crossed the finish line in one hour 48 minutes 50 seconds at the Strathclyde Country Park, 11 seconds ahead of his sibling. South Africa's Richard Murray finished strongly to take the bronze.
"That's all you can want from a race," Alistair told the BBC. "It was tough right from the start to the finish. I really enjoyed it - Jonny was brilliant too.
"This is the goal I wanted to achieve for the season and I've done it now. Now I've done everything I've wanted to do in my career - I don't know what to do now. Maybe I should retire," he joked.
The younger Brownlee, who won Olympic bronze at London 2012, was unable to cope with his brother's superior running ability late in the race.
"Alistair was better than me today. We said it would be an honest race and it was," said Jonathan.
"We were even over the swimming and cycling but his running is stronger than mine. I'm pleased with second - I gave it everything I've got." Earlier, England's Jodie Stimpson claimed the first gold medal at the Games with victory in the women's triathlon.
With compatriot Vicky Holland also finishing third, England picked up a total of four medals from the first two events.
(Reporting by Sam Holden; Editing by Rex Gowar)
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