Q. Which of the following factors contributed to the significant Growth of Trade (Internal and Foreign) during the 17th century Mughal Empire?
1.Political unification and the establishment of a single, standardized currency system (gold Mohar, silver Rupiya, copper Dam).
2.A standardized system of land revenue collection and high demand, forcing the monetization of the rural economy.
3.The massive expansion of the European trading companies (English, Dutch, French) at coastal centers, increasing demand for Indian goods.
How many of the statements given above are correct?
Answer: C
Notes:
Explanation:
- Statement 1: Correct. Political unity facilitated safe trade, while the highly reliable and standardized silver Rupiya made transactions easier across the vast empire.
- Statement 2: Correct. The Dahsala and Zabti systems demanded revenue be paid in cash. This need for cash forced farmers to sell their produce, increasing the flow of money and commercial activity in the hinterland.
- Statement 3: Correct. European demand for Indian textiles, spices, indigo, and saltpeter led to a massive influx of silver and gold (bullion) into India and spurred the expansion of production and trade.
