Indian Economy on the Eve of Independence

2. Name some notable economists who estimated India’s per capita income during the colonial period.

Ans: The following economists estimated India’s per capita income during the colonial period:

1. Dadabhai Naoroji
2. R.C Desai
3. V.K.R.V. Rao
4. William Digby
5. Findlay Shirras

3. What were the main causes of India’s agricultural stagnation during the colonial period?

Ans: The reasons for the stagnation of Indian agriculture during the colonial period are as follows:

1. The British introduced the Land Revenue system in 1793. As per this system, zamindars (landowners) needed to pay a high amount of revenue to the British Government, and the source of revenue collection was the peasants. The zamindars did not focus on improving land productivity, which resulted in low agricultural growth and subsequently made the life of peasants worse.
2. Indian farmers grew food crops like rice and wheat for consumption. The British Government was forcing

Indian farmers to grow commercial crops like indigo for British Industries, which led to agriculture turning commercial and caused a shortage of food grains.

3. Lack of irrigation facilities and other important factors like the unavailability of fertilizers also impacted the agriculture industry and made it more vulnerable.

4. Name some modern industries which were in operation in our country at the time of independence.

Ans: India witnessed the growth of some industries before independence, the most prominent of which is Tata Iron and Steel Company (TISCO). India was also witnessing a growth of textile mills and ancillary products. Maharashtra, Gujarat, and Bengal were areas where cotton and jute industries were set up. Apart from these industries, some other industries that started operating are sugar, paper and cement.