Read the two statements and choose the correct option.
I. Colonial India had an export surplus, but it brought no gold or silver into the country.
II. While India exported food grains, there were shortages of essentials such as food grains and kerosene at home.

Only ICorrect answerYour answerOnly IICorrect answerYour answerBoth I and IICorrect answerYour answerNeither I nor IICorrect answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer C

Correct answer: C

The surplus went to pay Britain's costs, not to bring in gold or silver: I is true.
The surplus came at the cost of shortages at home: II is true.

Ten questions from The Economy on the Eve of Independence, at your own pace.

Ten questions from The Economy on the Eve of Independence, at your own pace.

Read the two statements and choose the correct option.I. Colonial India had an export surplus, but it brought no gold or silver into the country.II. While India exported food grains, there were shortages of essentials such as food grains and kerosene at home.