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Question

During World War 1, how did the economy and political situation of India change?

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Solution

World War 1 actually altered the economic and the political scenario of the country. Not only the Defence expenditure increased, war loans also began to be taken, followed by the imposition of more and more taxes on the people. Custom duties were also raised and introduction of Income tax took place. Prices were also raised which became a cause of resentment among the common people.

Forced recruitment of soldiers was taking place, which spread discontentment among the rural population. The epidemic of Influenza hit the country. Approximately 12-13 million people died due to the recurring famines and epidemics.


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