Question

how did India play a crucial role in in the nineteenth century world economy? explain with examples.

Answer 1

The role on Indian economy in the nineteenth century world economy can be explained as follows :

• India was a major exporter of raw materials to Britain.
• Indian markets were flooded with the British manufactured goods.
• There was a trade surplus for Britain while trading with India. SO this trade surplus was used in many ways.
• Not only with Britain, India also traded with China mainly in opium.