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Explain the economic and political situations created in india during 1st world war???
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The war created a new economic and political situation.(b) it led to huge increase in defense expenditure which was financed by war loans and increasing taxes, custom duties were raised and income tax was introduced.(c) Prices increased, doubling between 1913-18.
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The First World War created a new political and economic situation in India. (i) It led to huge increase in defense expenditure, Custom duties were raised,income tax was introduced to finance the war. (ii) Villagers were called upon to supply soldiers, forced recruitment in rural areas caused widespread resentment.
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