ECONOMIC AND POLITICAL TIMELINE OF INDIA

INDUS VALLEY CIVILIZATION                                      

                                    The History of India begins with Indus Valley civilization which thrived in the age of  3500 BC to 1800 BC. The Indus valley civilization is also known as Harppan culture after the name of Harappa (where it was first discovered). 

POLITICAL SYSTEM OF INDUS VALLEY

                     The Political leader of Indus Valley were simply called "Ruler". The priests were also considers rulers. Rulers are chosen by Inheritance and they carried seals which contain animal symbol such as Bull, Buffalo, Tiger, Unicorn or Elephant with writings and wore ornaments made of rare materials.
There are no significant leader known from this civilization.

Political System

The above picture represent the political system prevailed in Indus Valley civilization.

ECONOMIC SYSTEM OF INDUS VALLEY

                              The Indus Valley civilization appears to have significantly developed on trade which was facilitated by advances in transport. Its citizen practiced Agriculture, domesticated animals, made sharp tools and traded in terracotta pots, beads, gold and silver, colored gem stones such as turquoise and lapis lazuli, metals, flints, seashells and pearls. They used to ships to reach Mesopotamia where they sold gold, copper and jewelry.

MAHAJANAPADAS

                             Around 600 BC the Mahajanapadas came into power in India. For the first time they minted punch-marked silver coins. These silver coins were used for trading and for other purposes.This period was marked by intensive trade activity and urban development.

                           The improved infrastructure combined with increased security, greater uniformity in measurements, and increasing usage of coins as currency  enhanced trade. For the next 1500 years, India produced its its classical difference from classical civilizations which generated wealth in huge amount. Between 1st and 17th centuries AD, India is estimated to have had the largest economy of the ancient and medieval world, controlling between one third and one fourth of the world's wealth.   

MUGHAL PERIOD

                      The mughal ruled India during the period of 1526-1858 AD. During their period India experienced extraordinary prosperity in history. The Gross Domestic Product of India during that period was 25.1% of world economy. 

                      An estimate of India's pre-colonial economy puts the annual revenue of Emperor Akbar's treasury in 1600 AD at £17.5 million (in contrast to the entire treasury of Great Britain two hundred years later in 1800 AD, which totalled £16 million). India stood as the Second largest in world economy. They enforced a uniform customs and tax-administration system.

                    During 18th century the mughal"s were replaced by Marathas and thus Mughal period came into end.

 

BRITISH RULE

                   The British imperial empire began to grow in India in the middle of 18^th Century. The phase of decline of Indian industry set in. The British East India Company whose political power gradually expanded in India from 1757 onwards, used huge revenue generated by the provinces under its rule for purchasing Indian raw materials, spices and goods. Thus the continuous inflow of bullion that used to come into India on account of foreign trade stopped altogether. The Colonial government used land revenue for waging wars in India and Europe leaving little for development of India. 
                   

In short span of 80 years (1780-1860 AD) under Colonial rule, India changed from being an exporter of processed goods for which it received payment in bullion to being an exporter of raw materials and a buyer of manufactured goods. More specifically, in the 1750s, mostly fine cotton and silk was exported from India to markets in Europe, Asia, and Africa; by 1850s raw materials, which chiefly consisted of raw cotton, opium, and indigo, accounted for most of India's exports.

   The ruthless exploitation under British colonial rule completely devastated India‟s economy. India‟s population was subject to frequent famines, had one of the world's lowest life expediencies, suffered from pervasive malnutrition and was largely illiterate. As per British economist, Angus Maddison India's share of the world income went from 27% in 1700 AD (compared to Europe's share of 23%) to 3% in 1950.