Question

Explain the merits and demerits of the permanent settlement system?

Answer 1

The merits of the Permanent Settlement were

1. It ensured predictable and consistent revenue for the government.
2. Farmers were spared arbitrary changes in revenue demand.
3. As Zamindars had ownership over the land, it incentivized them to make improvements in land by investing in irrigation and better methods of agriculture.

The demerits of the Permanent Settlement were

1. Zamindars had the incentive to fleece peasants as they could keep the excess revenue after making the required tax payment to the government
2. As a result, peasants suffered a lot under the system. Their living conditions worsened. They had little incentive to exert themselves or work hard on the fields.
3. It created a system of absentee landlords who were little bothered with agriculture. Instead, they spent most of their time in Calcutta living a life of luxury.