what are the basic features of Indian economy during colonial period?
Answers
The Industrial Revolution in England created a serious impact on Indian economy as it reversed the character and composition of India’s foreign trade. This led to destruction of Indian handicrafts although there was no substantial growth of modern factory industry.The factors which were responsible for the gradual decay of Indian handicrafts were—disappearance of princely courts and their patronage, aggressive trade policy of the East India Company and the British Government, increasing competition of British machine—made goods and increasing demand for Western commodities as a result of foreign influence.
The destruction of Indian handicrafts created a vacuum in Indian markets which was subsequently fed by British manufactured goods. The destruction of Indian handicrafts led to serious unemployment problem and the weavers were most seriously affected.
Answer:
Salient Features of Indian Economy. Indian economy is termed as the developing economy of the world. Some features like low per capita income, higher population below poverty line, poor infrastructure, agriculture based economy and lower rate of capital formation, tagged it as a developing economy in the world
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