{"id":90119,"date":"2025-06-01T10:21:15","date_gmt":"2025-06-01T10:21:15","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=90119"},"modified":"2025-06-01T10:21:15","modified_gmt":"2025-06-01T10:21:15","slug":"which-one-of-the-following-statements-about-the-colonial-economy-is-no","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-statements-about-the-colonial-economy-is-no\/","title":{"rendered":"Which one of the following statements about the Colonial economy is NO"},"content":{"rendered":"

Which one of the following statements about the Colonial economy is NOT correct ?<\/p>\n

[amp_mcq option1=”The British presence inhibited indigenous capitalism” option2=”Laissez-faire actively promoted indigenous capitalism” option3=”The ‘white collective monopoly’ came earliest and remained most pronounced in Eastern India” option4=”The Bombay hinterland was difficult to penetrate before the construction of railways” correct=”option2″]<\/p>\n

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This question was previously asked in<\/div>\n
UPSC CAPF – 2017<\/div>\n<\/div>\n
Download PDF<\/a>Attempt Online<\/a><\/div>\n<\/div>\n
\nStatement B is NOT correct. While laissez-faire is theoretically minimal state intervention, in the context of colonial India, British economic policies were *not* truly laissez-faire in a way that equally benefited indigenous capitalism. The state actively intervened through policies regarding trade, tariffs, railways, and currency to favor British capital and goods, often hindering the growth of Indian industries and enterprise.
\n<\/section>\n
\nColonial economic policy in India was characterized by a system designed to serve the interests of Britain, transforming India into a supplier of raw materials and a market for British manufactured goods. This often involved state intervention that created an unequal playing field disadvantageous to indigenous capital.
\n<\/section>\n
\nStatement A is correct; British policies led to deindustrialization and inhibited indigenous capital accumulation. Statement C is correct; the British agency houses established early dominance in Eastern India (Bengal) which became the center of colonial administration and trade. Statement D is correct; infrastructure like railways was built primarily to facilitate the movement of goods for colonial exploitation, making the interior accessible to ports like Bombay.
\n<\/section>\n","protected":false},"excerpt":{"rendered":"

Which one of the following statements about the Colonial economy is NOT correct ? [amp_mcq option1=”The British presence inhibited indigenous capitalism” option2=”Laissez-faire actively promoted indigenous capitalism” option3=”The ‘white collective monopoly’ came earliest and remained most pronounced in Eastern India” option4=”The Bombay hinterland was difficult to penetrate before the construction of railways” correct=”option2″] This question was … <\/p>\n

Detailed SolutionWhich one of the following statements about the Colonial economy is NO<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1085],"tags":[1101,1264,1124],"class_list":["post-90119","post","type-post","status-publish","format-standard","hentry","category-upsc-capf","tag-1101","tag-economic-impact-of-british-rule-on-india","tag-modern-history-of-india","no-featured-image-padding"],"yoast_head":"\nWhich one of the following statements about the Colonial economy is NO<\/title>\n<meta name=\"description\" content=\"Statement B is NOT correct. While laissez-faire is theoretically minimal state intervention, in the context of colonial India, British economic policies were *not* truly laissez-faire in a way that equally benefited indigenous capitalism. The state actively intervened through policies regarding trade, tariffs, railways, and currency to favor British capital and goods, often hindering the growth of Indian industries and enterprise. Colonial economic policy in India was characterized by a system designed to serve the interests of Britain, transforming India into a supplier of raw materials and a market for British manufactured goods. 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The state actively intervened through policies regarding trade, tariffs, railways, and currency to favor British capital and goods, often hindering the growth of Indian industries and enterprise. Colonial economic policy in India was characterized by a system designed to serve the interests of Britain, transforming India into a supplier of raw materials and a market for British manufactured goods. 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