
Lord Louis Mountbatten, the last Viceroy of India, and his wife, Lady Edwina Mountbatten, ride in the state carriage towards the Viceregal lodge in New Delhi, on March 22, 1947.
New research by the renowned economist Utsa Patnaik - published by Columbia University Press - deals a crushing blow to this narrative. Drawing on nearly two centuries of detailed data on tax and trade, Patnaik calculated that Britain drained a total of nearly $45trillion from India during the period 1765 to 1938.
It's a staggering sum. For perspective, $45 trillion is 17 times more than the total annual gross domestic product of the United Kingdom today.
How did this come about?
It happened through the trade system. Prior to the colonial period, Britain bought goods like textiles and rice from Indian producers and paid for them in the normal way - mostly with silver - as they did with any other country. But something changed in 1765, shortly after the East India Company took control of the subcontinent and established a monopoly over Indian trade.
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