India and the Great Depression – Class-10, History; Chapter-3 The Making of a Global World

India and the Great Depression – Class 10 Social Science Chapter 3 The Making of a Global World discusses that the Great Depression was a period of economic depression that began in the United States in 1929 and spread to countries around the globe. The depression had a severe impact on India, which was then under British colonial rule. The colonial government’s policies during the Great Depression were harmful to the Indian economy. The government adopted a protective trade policy that benefited the United Kingdom but caused great damage to India.

In this article, we will look into the topic ‘India and the Great Depression’ in detail. It is an important topic in Class 10 Social Science. Students can go through this article to get comprehensive notes on the topic of India and the Great Depression.

Great Depression

The Great Depression was a period of economic depression that started in the United States in 1929 and spread to other countries around the world. It was the worst economic downturn in the history of the industrialized world. India was not immune to the effects of the Great Depression. The depression had a severe impact on the Indian economy.

India was a British colony at the time of the Great Depression. The British government imposed several policies that exacerbated the effects of the depression in India. For example, the British government raised tariffs on imported goods, which made it more difficult for Indian businesses to compete. The British government also imposed a gold standard on India, which meant that the Indian rupee was pegged to the value of gold. This made it difficult for the Indian government to devalue its currency and stimulate the economy.

The Great Depression had several negative consequences for the Indian economy. Exports and imports fell sharply, and the prices of agricultural goods plummeted. This led to a decline in incomes and an increase in poverty. The depression also led to a rise in unemployment and social unrest. The Great Depression had a lasting impact on the Indian economy. It led to a decline in the importance of agriculture and an increase in the importance of industry. The depression also led to a greater degree of government intervention in the economy.

India and the Great Depression

The depression in India in the early 20th century significantly impacted the global economy, affecting lives, economies, and societies worldwide. Colonial India had become an exporter of agricultural goods and importer of manufactures in the nineteenth century. The depression affected Indian trade, with exports and imports nearly halving between 1928 and 1934. As international prices crashed, prices in India also plummeted, with wheat prices falling by 50% between 1928 and 1934.

Peasants and farmers suffered more than urban dwellers, as the colonial government refused to reduce revenue demands. Peasants producing for the world market were the worst hit, with prices plummeting over 60%. The depression led to increased indebtedness across India, leading to the civil disobedience movement by Mahatma Gandhi in 1931. Urban India, however, saw a decrease in prices, with fixed incomes and industrial investment growing due to government tariff protection.

Conclusion – India and the Great Depression – Class 10 Social Science Chapter 3 The Making of a Global World

In conclusion, the Great Depression had a devastating impact on the Indian economy. The global economic crisis led to a sharp decline in demand for Indian exports, such as agricultural products and raw materials. This, in turn, led to a fall in prices for these goods, which hurt Indian farmers and producers. The depression also led to a decline in foreign investment in India, which further weakened the economy. The Indian government’s response to the Great Depression was inadequate. The colonial government refused to reduce revenue demands on farmers, which exacerbated the crisis.

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FAQs on India and the Great Depression of Class-10 History

How did India experience the Great Depression?

India experienced the Great Depression through a decline in exports, widespread unemployment, and economic hardships for its population.

What were the main sectors affected by the Great Depression in India?

The agriculture, textile, and jute industries were among the hardest hit sectors in India during the Great Depression.

How did the Great Depression impact Indian farmers?

Indian farmers faced plummeting agricultural prices, crop failures, and indebtedness, leading to widespread poverty and rural distress.

What measures did the British colonial government take to address the impact of the Great Depression in India?

The British colonial government implemented policies such as tariff protection, public works programs, and relief measures to alleviate the effects of the Great Depression in India.

Did the Great Depression exacerbate existing social inequalities in India?

Yes, the Great Depression widened the gap between rich and poor in India, deepening social inequalities and exacerbating class tensions.

How did Indian nationalists respond to the economic challenges of the Great Depression?

Indian nationalists criticized British economic policies, demanding greater autonomy and control over India’s economic affairs to address the impact of the Great Depression.

Did the Great Depression lead to political agitation in India?

Yes, the Great Depression fueled discontent and political agitation in India, contributing to the growth of the Indian independence movement.

How did the Great Depression influence India’s economic policies in the long term?

The Great Depression prompted India to adopt protectionist economic policies and advocate for self-sufficiency to mitigate the vulnerability of its economy to global economic downturns.

What were some long-lasting effects of the Great Depression on India’s economy and society?

The Great Depression accelerated the demand for Indian independence, stimulated nationalist movements, and led to the reevaluation of colonial economic policies.