2012 · Q48
Directions: The following question consists of two statements, Statement I and Statement II. Examine them and select the answer using the code given below. Code: (a) Both statements are individually true and Statement II is the correct explanation of Statement I (b) Both statements are individually true but Statement II is not the correct explanation of Statement I (c) Statement I is true but Statement II is false (d) Statement I is false but Statement II is true.
Statement IThe economy of India in the 19th century came to a state of ruin under the English East India Company.
Statement IIThe English East India Company's acquisition of Diwani right led to the miseries of the peasants and those associated with the traditional handicrafts industry of India.
history-of-indiabritish-economic-impact
- A(a)
- B(b)
- C(c)
- D(d)
Explanation
Both statements are true, and the Diwani acquisition (1765), which enabled systematic revenue extraction and exploitation of peasants and artisans, explains the economic ruin described in Statement I.