Question

“Many economists believe that India paid a very heavy price for the British industrialisation, by becoming their feeder economy.”
Justify the given statement with any one valid argument.

Hint:

A "feeder economy" means an economy that supports another at the cost of its own development. India’s role under colonialism perfectly fits this description.

Answer 1

The statement is correct. Under British control, India was transformed into a supplier of resources, providing raw materials for the British industrial revolution while purchasing their manufactured products.
A supporting point: British policies intentionally undermined India's existing industries, such as textiles, using unfair trade practices. High taxes were placed on Indian exports, while British goods entered India without tariffs. This turned India into a major source of raw materials like cotton, jute, and indigo, hindering its industrial development due to insufficient capital, infrastructure, and trade protection.
Consequently, India's economy stagnated, serving the needs of British industries.