Presented By:Mukund KulkarniPG16AGR8008Dept of Agril.Economis

INDIAN ECONOMIC THINKER : DADABHAI

NAOROJI

DADABHAI NAOROJI IN 1889

LIFE HISTORY Dadabhai Naoroji Born on 4 September 1825 Died on 30 June 1917

Dadabhai Naoroji Born in Mumbai in Gujarati speaking Parsi Family.

Educated at the Elphinstone Institute School

Known as the Grand Old Man of India, was a Parsi intellectual, educator, cotton trader, and an early Indian political and social leader.

He was a Liberal Party member of parliament (MP) in the United Kingdom House of Commons between 1892 and 1895 and the first Asian to be a British MP.

LIFE HISTORY He was patronized by Maharaja of Baroda Sayajirao

Gaekwad III and started his public life as the Dewan (Minister) to the Maharaja in 1874.

Being an Athornan (ordained priest), Naoroji founded the Rahnumae Mazdayasne Sabha (Guides on the Mazdayasne Path) on 1 August 1851 to restore the Zoroastrian religion to its original purity and simplicity.

In 1854, he also founded a Gujarati fortnightly publication, the Rast Goftar (or The Truth Teller), to clarify Zoroastrian concepts and promote Parsi social reforms.

LIFE HISTORY In 1855, he was appointed Professor of

Mathematics and Natural Philosophy at the Elphinstone College in Bombay, becoming the first Indian to hold such an academic position.

He travelled to London in 1855 to become a partner in Cama & Co, opening a Liverpool location for the first Indian company to be established in Britain.

In 1859, he established his own cotton trading company, Dadabhai Naoroji & Co. Later, he became professor of Gujarati at University College London.

LIFE HISTORY Non withstanding the Anglo-Indian MP David

Ochterlony Dyce Sombre who was disfranchised for corruption.

Naoroji is also credited with the founding of the Indian National Congress, along with A.O. Hume and Dinshaw Edulji Wacha.

His book Poverty and Un-British Rule in India brought attention to the draining of India's wealth into Britain.

LIFE HISTORY In 1874, he became Prime Minister of Baroda and

was a member of the Legislative Council of Mumbai (1885–88).

He was also a member of the Indian National Association founded by Sir Surendranath Banerjee from Calcutta a few years before the founding of the Indian National Congress in Bombay, with the same objectives and practices.

Naoroji was elected President of the Congress in 1886. Naoroji published Poverty and un-British Rule in India in 1901.

DADABHAI NAOROJI IN 1892

Naoroji moved to Britain once again and continued his political involvement. Elected for the Liberal Party in Finsbury Central at the 1892 general election, he was the first British Indian MP.

He refused to take the oath on the Bible as he was not a Christian, but was allowed to take the oath of office in the name of God on his copy of Khordeh Avesta.

In Parliament, he spoke on Irish Home Rule and the condition of the Indian people. In his political campaign and duties as an MP, he was assisted by Muhammed Ali Jinnah, the future Muslim nationalist and founder of Pakistan.

In 1906, Naoroji was again elected president of the Indian National Congress.

Naoroji was a mentor to Bal Gangadhar Tilak, Gopal Krishna Gokhale and Mohandas Karamchand Gandhi.

He was married to Gulbai at the age of eleven. He died in Bombay on 30 June 1917, at the age of 91

PRESENTLY WE HAVE Today the Dadabhai Naoroji Road, a heritage

road of Mumbai, is named after him.

Also, the Dadabhai Naoroji Road in Karachi, Pakistan is also named after him.

And also Naoroji Street in the Finsbury area of London.

A prominent residential colony for central government servants in the south of Delhi is also named Naoroji Nagar.

NAOROJI'S DRAIN THEORY AND POVERTY Dadabhai Naoroji's work focused on the drain

of wealth from India into England through colonial rule.

One of the reasons that the Drain theory is attributed to Naoroji is his decision to estimate the net national profit of India, and by extension, the effect that colonization has on the country.

Through his work with economics, Naoroji sought to prove that Britain was draining money out of India

NAOROJI DESCRIBED 6 FACTORS WHICH RESULTED IN THE EXTERNAL DRAIN

India is governed by a foreign government.

India does not attract immigrants which bring labour and capital for economic growth.

India pays for Britain's civil administrations and occupational army.

India bears the burden of empire building in and out of its borders.

opening the country to free trade was actually a way to exploit India by offering highly paid jobs to foreign personnel.

The principal income-earners would buy outside of India or leave with the money as they were mostly foreign personnel.

DRAIN THEORY In Naoroji book 'Poverty' he estimated a 200–300

million pounds loss of revenue to Britain that is not returned.

Naoroji stated that he believed some tribute was necessary as payment for the services that England brought to India such as the railways.

However the money from these services were being drained out of India; for instance the money being earned by the railways did not belong to India, which supported his assessment that India was giving too much to Britain.

DRAIN THEORY India was paying tribute for something that

was not bringing profit to the country directly. Instead of paying off foreign investment which other countries did, India was paying for services rendered despite the operation of the railway being already profitable for Britain.

British workers earning wages that were not equal with the work that they have done in India, or trade that undervalued India's goods and overvalued outside goods.

DRAIN THEORY Englishmen were encouraged to take on high

paying jobs in India, and the British government allowed them to take a portion of their income back to Britain.

Furthermore, the East India Company was purchasing Indian goods with money drained from India to export to Britain, which was a way that the opening up of free trade allowed India to be exploited.

He argued that by allowing the money earned in India to stay in India, tributes would be willingly and easily paid without fear of poverty;

DRAIN THEORY This could be done by giving equal employment

opportunities to Indian professionals who consistently took jobs they were over-qualified for.

Indian labour would be more likely to spend their income within India preventing one aspect of the drain.

Naoroji believed that to solve the problem of the drain it was important to allow India to develop industries; this would not be possible without the revenue draining from India into England.

DRAIN THEORY It was also important to examine British and Indian trade

to prevent the end of budding industries due to unfair valuing of goods and services.

By allowing industry to grow in India, tribute could be paid to Britain in the form of taxation and the increase in interest for British goods in India.

Naoroji's work on the drain theory was the main reason behind the creation of the Royal commission on Indian Expenditure in 1896 in which he was also a member.

This commission reviewed financial burdens on India and in some cases came to the conclusion that those burdens were misplaced

BOOKS BY DADABHAI NAOROJI

POVERTY AND UN-BRITISH RULE IN INDIAThe title of the book is Poverty and Un-British Rule in India, i.e., the present system of government is destructive and despotic to the Indians and un-British and suicidal to Britain. On the other hand, a truly British course can and will certainly be vastly beneficent both to Britain and India

POVERTY OF INDIA PAPERS & STAT

This work has been selected by scholars as being culturally important, and is part of the knowledge base of civilization as we know it. This work was reproduced from the original artifact, and remains as true to the original work as possible. Therefore, you will see the original copyright references, library stamps (as most of these works have been housed in our most important libraries around the world), and other notations in the work.

This work is in the public domain in the United States of America, and possibly other nations. Within the United States, you may freely copy and distribute this work, as no entity (individual or corporate) has a copyright on the body of the work.As a reproduction of a historical artifact, this work may contain missing or blurred pages, poor pictures, errant marks, etc. Scholars believe, and we concur, that this work is important enough to be preserved, reproduced, and made generally available to the public. We appreciate your support of the preservation process, and thank you for being an important part of keeping this knowledge alive and relevant.

ESSAYS, SPEECHES, ADDRESSES AND WRITINGS, (ON INDIAN POLITICS, ) OF THE HON'BLE DADABHAI NAOROJI

This work has been selected by scholars as being culturally important, and is part of the knowledge base of civilization as we know it. This work was reproduced from the original artifact, and remains as true to the original work as possible. Therefore, you will see the original copyright references, library stamps (as most of these works have been housed in our most important libraries around the world), and other notations in the work.

This work is in the public domain in the United States of America, and possibly other nations. Within the United States, you may freely copy and distribute this work, as no entity (individual or corporate) has a copyright on the body of the work.As a reproduction of a historical artifact, this work may contain missing or blurred pages, poor pictures, errant marks, etc. Scholars believe, and we concur, that this work is important enough to be preserved, reproduced, and made generally available to the public. We appreciate your support of the preservation process, and thank you for being an important part of keeping this knowledge alive and relevant.

THANK YOUSubmitted To:Dr.Jagrathi B DeshmanyaProf.and Head of the DepartmentDept.Agril.Economics