According to Dadabhai Naoroji, which of the following was the value of per…
2025
According to Dadabhai Naoroji, which of the following was the value of per capita income during 1867-1868?
- A.
₹35
- B.
₹20
- C.
₹30
- D.
₹10
Attempted by 4 students.
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Correct answer: B
Dadabhai Naoroji, an early economic nationalist, developed the 'drain of wealth' theory by estimating India's total national income and dividing it by population to get a per-capita figure; comparing this bare per-capita figure across years was his method for showing that colonial rule kept the average Indian at a subsistence level while wealth was transferred out of the country.
Applying this method to the year 1867-68, Naoroji computed India's per-capita annual income at ₹20. He used this and comparable year-wise figures, published in his work on India's poverty, to argue that most Indians lived close to a bare subsistence line.
₹35 is a higher annual figure than the ₹20 Naoroji records for 1867-68 in his published income tables.
₹30 is also higher than his documented 1867-68 figure.
₹10 is lower than the ₹20 figure Naoroji records for this year.