The correct option is C The theory proposed that poverty in India was caused by the colonial rule that was draining the wealth and prosperity of India.
Dadabhai Naoroji was the first man to say that internal factors were not the reasons for poverty in India but poverty was caused by the colonial rule that was draining the wealth and prosperity of India. In 1867, Dadabhai Naoroji put forward the ‘drain of wealth’ theory in which he stated that Britain was completely draining India.