Oligarchy is a term that refers to a govt. Run by a few specially a small faction of persons or families.
Dadabhai Naoroji refers to this as one of the causes of the draining of wealth from the subcontinent. In his books Poverty and Un-British Rule in India, he talks of draining of 200-300 Million pounds of revenue from india to Britain. Six causes of external draining on Indian resources then were,
- External rule and administration.
- Funds and labour needed for economic development brought in immigrants but india did not draw immigrants.
- All civil administration and army expenses of Britain were paid by india.
- India was bearing the burden of territory building both inside and outside india.
- India was further exploited due to free trade.
- Major earners in india during british rule were foreigners. The money they earned was never invested in india to buy anything. Moreover they left india with that money.
Along with this different services like railways, gave the british huge revenue while Indian labour was deeply undervalued. The east india company was buying products from india with Indian money and exporting it to Britain.
Okay we buy this document for historic drain, now what? Are we really better off?
The massive administrative body which is totally centralized is controlling. All tax money goes right out to them. Premier institutes like IIT’S IIM AND AIMS create technically trained people who seek employment out of the country. the vast technical trained people who get trained on tax payers money go abroad.
Opening the market to the world has not created a market for Indian goods abroad, but India has become a dumpyard for surplus products created abroad.
The major earners we the ruling brits then it is the politician now.
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