SETTLEMENT PROCEDURE 77 



be introduced at the next settlement, of Oudh. I have 

 already explained that some landlords refrain from enhancing 

 their rents by more than a purely nominal amount, and 

 charge nazrana instead, in the belief that by thus keeping 

 the rent roll low the estate will be assessed to revenue at a 

 lower rate in the same proportion at the next settlement. In 

 theory the settlement officer is expected to settle the revenue 

 at about 45 per cent of the net assets of the land. The net 

 assets mean the whole produce of the land less the cost of 

 cultivation, including the living expenses of the cultivator 

 and his family at the ordinary standard of living. The " net 

 assets " is in reality the economic rent. The actual rent may 

 be either below or above the economic rent. It is 

 below when a conservative landlord does not care to press 

 his tenants to pay the utmost rent ; and it is also below 

 when nazrana is charged on admission to a lease. The 

 rents of some holdings, particularly small holdings, are 

 sometimes above the economic rent when a large part of the 

 income of the family is derived from some non-agricultural 

 occupation or from remittances by family members who have 

 migrated to industrial centres. The family clings to the 

 holding in spite of enhanced rent, because of a sentimental 

 connection with the village and the social status the holding 

 of land confers. I believe, however, that much the larger 

 area is rented below the economic rent, and only a small 

 area above it. 



In zemindari tracts the settlement officers have been 

 permitted to regard the rents actually paid as a fairly 

 close indication of the net assets of the land, and as being 

 sufficiently close to be taken as the principal evidence on 

 which the assessment is to be based. It would have a 

 beneficial effect if this practice were discontinued and 

 settlement officers were instructed to inquire for themselves 

 as to the real net assets of the land by ascertaining its total 



