Question

Write the srort note on drin thoiry

Answer 1

Answer:

$\huge\underline\bold\black{Drin theory :}$

The drain of wealth was the portion of India's wealth and economy that was not available to Indians.In 1867, Dadabhai Naoroji put forward the 'drain of wealth' theory in which he stated that the Britian was completely draining India.He mentioned this theory in his book Poverty and Un-British Rule in India.

$\huge\underline\bold\black{Explanation :}$

During the late 19th and early 20th century, ‘the drain theory’ came to be seen as the symbol of Indian economic nationalism. Its message was that financial mechanisms by which British rule in India was maintained led to a transfer of wealth and income from India to Britain, imposing a ‘bleeding drain’ on the Indian economy.

The essence of the drain theory is that the unilateral transfers that India was compelled to make to Britain systematically stripped the country of resources and thus perpetuated poverty. Naoroji observed that ‘the chief cause of India’s poverty, misery, and all other material evils is the exhaustion of its wealth, which continuously and increasingly exhausting and weakening its production, by the excessive expenditure on the European portion of all its sources, and the burden of a large amount each year to be paid to foreign countries for interest on the public debt, which is chiefly caused by the British rule’.

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