Key Concept: Drain of Wealth, Colonial Economy, Industrial England
c) By transferring wealth to England via exports, salaries, and profits with no returns.
[Solution Description]
The British transformed India into a colonial economy by forcing it to export raw materials like cotton, silk, indigo, and food grains at cheap rates to feed British industries. Simultaneously, India was flooded with duty-free or low-duty British manufactured goods, ruining local industries. The surplus wealth extracted from India—through salaries, savings of British officials, military expenditures, and profits from investments—was transferred to England without any proportionate return. This transfer, known as the 'Drain of Wealth,' deprived India of capital that could have been used for its own development, deepening economic exploitation.
Your Answer is correct.
c) By transferring wealth to England via exports, salaries, and profits with no returns.
[Solution Description]
The British transformed India into a colonial economy by forcing it to export raw materials like cotton, silk, indigo, and food grains at cheap rates to feed British industries. Simultaneously, India was flooded with duty-free or low-duty British manufactured goods, ruining local industries. The surplus wealth extracted from India—through salaries, savings of British officials, military expenditures, and profits from investments—was transferred to England without any proportionate return. This transfer, known as the 'Drain of Wealth,' deprived India of capital that could have been used for its own development, deepening economic exploitation.
