Concept:Understanding Britain's economic exploitation of India through trade surplus, opium export, and de-industrialisation in the 19th century.
Explanation:Statement 1: Britain had a "trade surplus" with India in the
19th century. The value of British exports to India was much higher than imports from India. This surplus helped Britain offset trade deficits with other regions. Hence, statement 1 is correct.
Statement 2: India played a crucial role in the late-
19th-century world economy by helping Britain balance its deficits. India provided a steady flow of revenue and resources to pay off Britain's debts in Europe and America. Thus, statement 2 is correct.
Statement 3: Britain grew opium in India and exported it to China. After the
1820s, opium became India's single largest export, generating huge profits for Britain. So statement 3 is correct.
Statement 4: The
19th century saw a decline in the export of Indian manufactured goods and an increase in the export of raw materials. India was de-industrialised to become a supplier of raw materials for British industries. Therefore, statement 4 is incorrect.
Answer: 1,2 and
3 only (Option D).