Anand V. Swamy
Williams College
December 2010
Forthcoming in Debin Ma and Jan Luiten Van Zanden eds. Long-term Economic Change in
Eurasian Perspective, Stanford University Press.
1
1. Introduction
The East India Company’s conquest of various territories in India typically brought one issue to the forefront right away: How would land taxes, the principal source of governmental revenue, be collected? But taxation was not a thing unto itself; it was inextricably linked with “ownership” and indeed with the entire structure of land rights. For this reason, among others, the Company also created/adapted legal systems that would adjudicate the disputes that, inevitably, followed in the wake of its land-rights interventions. The legal and land tenure arrangements chosen also affected credit markets: to the extent land ownership is secure and transferable, land can be used as collateral, or seized in lieu of repayment of debts or other contractual obligations. Land, law, and credit in colonial India generated a huge (and ongoing) discussion: debates preceding policy choices; later commentary within the colonial administration; “nationalist” criticisms from the late 19th century onwards; and current research linking present-day economic outcomes to colonial era choices. In this paper we provide an overview of this literature, focusing on the period 1765-1900. In the interest of brevity and coherence we focus two regions, Bengal, which was first conquered (1757-64), and the Bombay Deccan, which was annexed in 1818, though we make references to other regions as well.
From the very beginning, Company rule in India generated an extraordinary amount of documentation. Policy discussions characterized the nature of pre-colonial regimes and land tenure systems, invoked the theories of contemporary economists and philosophers in Europe, and might even use surveys to gather information. Much of the discussion was
References: Banerjee, Abhijit V., Paul J. Gertler, and Maitreesh Ghatak. 2002. “Empowerment and Efficiency: Tenancy Reform in West Bengal,” Journal of Political Economy 110, 2: 239280. Banerjee, Abhijit V. and Lakshmi Iyer. 2005. “History, Institutions, and Economic Performance: The Legacy of Colonial Land Tenure Systems in India,” American Barrier, Norman G. 1964. “The Formulation and Enactment of the Punjab Alienation of Land Bill,” Indian Economic and Social History Review, 2: 145-165. Basu, K. 1997. Analytical Development Economics: The Less Developed Economy Revisited. Besley, Timothy and Robin Burgess. 2000. “Land Reform, Poverty Reduction and Growth: Evidence from India,” Quarterly Journal of Economics, May, 389-430. Bhaduri, Amit. 1973. “A Study in Agricultural Backwardness under Semi-Feudalism,” Economic Journal 83, 329: 120-137. Bhattacharya, N. 1985. “Lenders and Debtors in the Punjab Countryside, 1880-1940,” Studies in History, 1: 305-342. Bose, Sugata. 1993. Peasant Labour and Colonial Capital: Rural Bengal since 1770. Cohn, Bernard. S. 1961. “From Indian Status to British Contract,” Journal of Economic History, 21, 4: 613-628. Catanach, I. J. 1970. Rural Credit in Western India 1875-1930: Rural Credit and the Cooperative Movement in the Bombay Presidency. Berkeley: University of California Press. Charlesworth, Neil. 1972. "The Myth of the Deccan Riots of 1875," Modern Asian Studies, 6, 4: 401-421. Charlesworth, Neil. 1985. Peasants and Imperial Rule: Agriculture and agrarian society in the Bombay Presidency, 1850-1935 Chatterjee, Partha. 1984. Bengal 1920-47: The Land Question. Calcutta: K.P. Bagchi and Co. Chowdhury-Zilly, A.N. 1982. The Vagrant Peasant: Agrarian Distress and Desertion in Bengal 1770 to 1830 Coats, T. W. 1823. “An Account of the Present State of the Township of Lony: An Illustration of the Institutions, Resources and c Finucane, M. and Rampini, R.F. 1886. The Bengal Tenancy Act: Being Act VIII of 1885, with Notes and Annotations, Judicial Rulings, and the Rules Made by the Local Gandhi, B. M. 2003. Hindu Law. Lucknow: Eastern Book Company. Government of Bombay. 1882. The Survey and Settlement Manual, Being a Compilation of All Acts, Rules, Discussions in the Legislative Council and Official Correspondence Guha, Ranajit. 1963. A Rule for Property in Bengal: An Essay on the Idea of the Permanent Settlement Guha, Sumit. 1985. The Agrarian Economy of the Bombay Deccan 1818-1941. Delhi: Oxford University Press. Hatekar, Narendra. 1996. “Information and Incentives: Pringle’s Ricardian Experiment in the Nineteenth Century Deccan Countryside,” Indian Economics and Social History Review, Islam, Mukhafurul.M. 1995. “The Punjab Land Alienation Act and the Professional Moneylenders,” Modern Asian Studies 29, 2: 271-91. Islam, Sirajul. 1979. The Permanent Settlement in Bengal: A Study of Its Operation 17901819. Dacca: Bangla Academy. Kapur, S. and Kim, S. 2006. “British Colonial Institutions and Economic Development in India,” NBER Working Paper 12613. Kranton, Rachel E. and Anand V. Swamy. 1999. “The Hazards of Piecemeal Reform: British Civil Courts and the Credit Market in Colonial India,” Journal of Development _______. 2008. “Contracts, Hold-Up, and Exports: Textiles and Opium in Colonial India,” American Economic Review 98, 3: 967-989. Kumar, Ravindar. 1965. "The Deccan Riots of 1875," Journal of Asian Studies 24: 613-633. Marshall, Peter J. 1987. The New Cambridge Economic History of India, Vol. 2. McAlpin, M. B. 1980. “The Impact of Trade on Agricultural Development: Bombay Presidency, 1855-1920,” Explorations in Economic History 17: 26-47. McLane J. R. 1977. "Revenue Farming and the Zamindari System in Eighteenth-Century Bengal," in R.E Misra, B.B. 1977. The Bureaucracy in India: An Historical Analysis of Development up to 1947 Neale, W. 1969. “Land is to Rule,” in R.E. Frykenberg ed. Land Control and Social Structure in Indian History Oak, M. and Swamy, A. 2007. “Only Twice as Much: A Rule for Regulating Lenders,” Mimeo, Williams College. Price, Pamela. 1983. “Warrior Caste ‘Raja’ and Gentleman ‘Zamindar’: One Person’s Experience in the late Nineteenth Century,” Modern Asian Studies, 17, 4: 563-90. Mitra, D.B. 1978. The Cotton Weavers of Bengal, 1757-1833. Calcutta: Firma Mukhopadyay. Mukherjee, N. and Frykenberg, R.E. 1969. “The Ryotwari System and Social Organization