Sunday, November 21, 2010

Economic History of Pre-British India

The known Economic history of India begins with the Indus Valley Civilization. The Indus Civilization's economy appears to have depended significantly on trade, which was facilitated by advances in transport. Around 600 BC, the Mahajanapadas minted punch-marked silver coins.Thee period was marked by   intensive trade activity and urban development. By  300 BC the Maurya Empire united most of the Indian sub-continent. The political unity and military security allowed for a common economic system and enhanced trade and commerce, with increased agricultural productivity.
For the next 1500 years, India produced its classical civilizations  such as the Rashtrakutas, Hoysalas and western Gangas.During this period India is estimated to have had the largest economy of the ancient and medieval world between between the 1st and 15th centuries AD, controlling between one third and one fourth of the world's wealth up to the time of the Marathas, from whence it rapidly declined during European rule.
India has followed central planning for most of its Independent history, which have included extensive public ownership, regulation , tape and trade barriers.