The agrarian sector flourished due to the tribute system and networks of exchange. This method of production attracted demand from the Europeans. The labor to state relations were much better in the late 18th century as compared to earlier times. In the book titled ‘Modern South Asia’ by Jalal & Bose, it is mentioned that ‘Evidence from Bengal and Madras suggests that urban labor was worse off in relation to the state and the market in the early colonial than in the immediate pre-colonial period.’ The level of inland trade was also doing well. There was a thriving inter-regional trade. Marathas acquired cloth, food grains and cattle from the Gangetic plain. Cotton wool and hides from the northern Deccan, sugar from Benares, and cloth from Carnatic was supplied to Mysore. The level of urbanization was also higher in the late 18th century as compared to previous centuries. Hence, it can be said that the 18th century saw some fruitful positives in terms of the economy of the …show more content…
The financial crisis was initiated due to the expansion of the empire, and catalyzed when Nadir Shah invaded Delhi to take away grand amounts of wealth. The revolts led by various zamindars and subadars also provided issues to the Mughal rule. Throughout the 18th century, the power shifted from the Mughal emperor to smaller regional groups, hence the balance of power existed. Further throughout the 18th century, the economy did well and prospered, the agrarian sector was profitable, the trading continued to do well, and the levels of urbanization increased. Cultural progress also existed in 18th century seeing an overall increase in the practice of poetry and art as well as religious groups settling in. Hence the idea of the 18th century being termed a period of decline does not make sense considering the factors enlisted above. The 18th century did observe an overall level of decentralization of Mughal power as compared to decline, and hence it is much more relevant to say that the 18th century encountered political decline in terms of Mughal power, and cultural progress within the whole