12th Class Economics Foreign Trade Question Bank Assertion - Reason - India's Foreign Trade (1947-1990)

  • question_answer
    Directions : Read the following statements: Assertion [A] and Reason [R].Choose one of the correct alternative.
    Assertion (A): Handicraft industries lost both domestic market as well as international markets.
    Reason (R): Britishers followed discriminatory foreign trade policy which means heavy duty on Indian export and no tariffs on Indian imports. There was elimination of Nawabs and Rajas who were the major buyers of handicraft goods.

    A) Both Assertion [A] and Reason [R] are true and Reason [R] is the correct explanation of Assertion [A].

    B) Both Assertion [A] and Reason [R] are true but Reason [R] is not the correct explanation of Assertion [A].

    C) Assertion [A] is true but Reason [R] is false.

    D) Assertion [A] is false but Reason [R] is true.

    Correct Answer: A

    Solution :

    [a] Both Assertion [A] and Reason [R] are true and Reason [R] is the correct explanation of Assertion [A].


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