+3 votes
in Class 11 by kratos

How did the 'First World War' create a new economic and political situation in India ? Explain with examples.

1 Answer

+4 votes
by kratos
 
Best answer

(i) The First World War created a new economic and political situation in India. It led to huge increase in defence expenditure which was Financed by war loans and increasing taxes, custom duties were raised and income tax was introduced.

(ii) Prices increased, doubling between 1913-18. This hit the common people.

(iii) Villagers were asked to supply soldiers and through forced recruitment in rural areas.

(iv) During 1918-19, crops ** in many parts of India which created shortage of food.

(v) Spread of influenza epidemic caused ***** of 12 to 13 million people in India.

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