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Question
Under a new law, moneylenders were allowed to auction farmers' land to recover debt. What did this lead to?
Under a new law, moneylenders were allowed to auction farmers' land to recover debt. What did this lead to?
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Solution
The correct option is B Deccan Riots of 1875
As a consequence of the Ryotwari system, farmers in rural Maharashtra had to pay revenue directly to the government. They began borrowing from moneylenders and soon found themselves in debt traps. The moneylenders were given permission to sell farmers' land to non-cultivators to recover debt from them. This eventually led to the Deccan Riots of 1875, where the farmers rose in revolt against the moneylenders.
As a consequence of the Ryotwari system, farmers in rural Maharashtra had to pay revenue directly to the government. They began borrowing from moneylenders and soon found themselves in debt traps. The moneylenders were given permission to sell farmers' land to non-cultivators to recover debt from them. This eventually led to the Deccan Riots of 1875, where the farmers rose in revolt against the moneylenders.
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