Monday, November 8, 2010

Economy in Mughal Empire (contd-1)

Once the economy started growing, many trade centers developed which soon grew into prosperous cities. Many Indian cities of that time, according to travelling foreigners, were better than those Asia and Europe. Communications and transport facilities had also improved during the time of the Mughals and Sher Shah. There were several metalled highways reaching various places of the empire.River transport was also important, especially those which were navigable throughout the yea. Though agriculture was an important part of the economy, the crops and techniques remaining unchanged and irrigation facilities such as canals, and water reservoirs being insufficient  economy sometimes remained stagnant due to inclement weather leading to famines.  
During the period of 1526, Mughal India was the second largest economy in the world . The gross domestic product of India in the 16th century was estimated at about 24.5%of the world economy, in comparison to Ming China's25 % share.
In  an estimate of India's pre-colonial economy puts the annual revenue of Emperor Akbar's treasury in 1600 at 17.5 million pounds , in contrast to the entire treasury of Great Britain in 1800, which totalled 16 million pound. The gross domestic product of Mughal India in 1600 was estimated at about 22.6%the world economy, in comparison to Ming China's 29.2% share.
In 1700 the Mughal Empire expanded to almost 1,000 million acres or 90 % of South Asia, and a uniform customs and tax administration system was enforced. Annual revenue reported by the Emperor Aurangazeb's exchequer exceeded 100 million pound in 1700 . Thus, India emerged as the world's largest economy, followed by China and Western Europe.