Early INC Economic Issues Explained

This question focuses on the economic problems that the Indian National Congress (INC) brought to the attention of the British government during the early years of its existence. We need to determine which of the listed points accurately reflect these concerns.

Analyzing INC's Economic Grievances Against British Rule

Economic Issue (i): Poverty and Famines Attributed to British Rule

This statement accurately reflects a major concern of the early INC. Leaders like Dadabhai Naoroji argued that British economic policies were draining India's wealth, leading to widespread poverty. They believed that British rule was directly responsible for the recurring famines that devastated the country due to exploitative revenue systems and neglect.

Economic Issue (ii): Demands for Revenue Reduction and Military Spending Cuts

This statement is also correct. The INC consistently demanded that the British reduce the heavy land revenue imposed on Indian farmers, which was a significant burden. Additionally, India had to pay for a large and expensive army used by the British, often for purposes unrelated to India's defense. The Congress called for cuts in this military expenditure to ease the financial pressure on India.

Economic Issue (iii): Calls for Increased Irrigation Funding

This statement is correct. Recognizing that agriculture was the backbone of the Indian economy and vulnerable to weather patterns, the INC pushed for greater government investment. They specifically requested more funds be allocated to developing irrigation systems. Improved irrigation was seen as vital for boosting crop yields and preventing devastating famines.

Economic Issue (iv): Concerns Regarding Entertainment Tax

While the INC addressed various economic matters, focusing on entertainment tax as a primary grievance against British economic policy in its early phase is not as prominent as the other issues. The core economic criticisms by the early INC centered on systemic exploitation, land revenue, trade policies, and the drain of wealth. Therefore, this point is generally considered less significant in the context of the INC's major economic demands.

Summary of Correct Economic Issues

Based on historical context and the known agenda of the early Indian National Congress, the most significant economic issues they raised against British rule were:

• The link between British policies and widespread poverty and famines.
• The need to reduce high land revenues and cut excessive military spending.
• The importance of investing more in irrigation projects.

Selecting the Correct Option

Considering the analysis above, statements (i), (ii), and (iii) represent the key economic issues highlighted by the early INC. Statement (iv) was not a major focus compared to the others.

Therefore, the option that correctly identifies these three points is the answer.