(iii) 



depression on account of tlie low prices of grain, and, during* 



■ the 30 years which preceded this period, progress was retarded 

 by five successive famines. During the early years of the cen- 

 tury metalled roads were unknown, and- wheel-traffic, except 

 for short distances, did not exist. Trade was hampered by 

 want of communications and the means of transport and was 

 confined to the narrowest local limits. The general improve- 

 ment of communications throughout the country may be said 

 to date from the report of the Public Works Commission 

 issued in 1852. 



4. The author then proceeds to review the principal facts 



bearing upon the condition of the 

 agricultural classes from the middle 

 of the century to the present time. About the year 1854 

 the period of agricultural depression came to an end and a 

 time of great prosperity bes:an. The demand abroad for 

 Indian commodities largely increased — the result of several 

 * causes, such as the discovery of gold in'Australia and Cali- 

 fornia, the Crimean war, and, above all, the Civil war in 

 America which increased enormously the demand for Indian 

 cotton. Exports, which in 1840-41 amounted to only 13-^ 

 millions sterling, rose in 1864-65 to 68 millions. Silver 

 flowed into the country and large loans — especially for the 

 construction of railways and other public works — were raised 

 in England, of which it is calculated that about one-half was 

 expended on wages in India. The result was that the 

 currency was replenished and the prices of Indian produce 

 rose to three times what they had been in the years immedi- 

 ately preceding 1850. During this period, moreover, many 

 administrative reforms were introduced. The police was 

 organised upon a new footing ; the Settlement Department 

 was constituted for the purpose. of alleviatmg the heavy 

 burthens on land and of removing inequalities in assess- 

 ments ; the revenue and magisterial establishments were 

 revised and village accounts were simplified ; and, above all, 

 an enormous impetus was given to the construction of public 

 works, notably works of irrigation. With increased demand, 

 tLe wages of labour rose in proportion to prices. 



5. The period of high prices continued till about 1870, 

 when a re-action, took place. At this time several new and 

 unfamiliar forms of taxation were resorted to, chiefly of a 

 "local" character, and, while still suffering from the effects" 

 of faUing prices, the country was visited by the terrible 



■ famine of 1876-78. The cost of this calamity, in(?luding 

 revenue remitted, amounted to 8 millions sterling and the 

 loss in population was nearly 4 millions. 



