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Write a note to explain the effects of the following:

a) The British government's decision to abolish the Corn Laws.

b) The coming of rinderpest to Africa.

c) The death of men of working-age in Europe because of the World War.

d) The Great Depression on the Indian economy.

e) The decision of MNCs to relocate production to Asian countries.

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Answer

a) The British government's decision to abolish the Corn Laws — After the Corn Laws were scrapped, food could be imported into Britain more cheaply than it could be produced within the country. British agriculture was unable to compete with imports. Vast areas of land were now left uncultivated, and thousands of men and women were thrown out of work. They flocked to the cities or migrated overseas.

b) The coming of rinderpest to Africa — Rinderpest was a fast-spreading disease of cattle plague. It arrived in Africa in the late 1880s. It was carried by infected cattle imported from British Asia to feed the Italian soldiers invading Eritrea in East Africa. Entering Africa in the east, rinderpest moved west 'like forest fire', reaching Africa's Atlantic coast in 1892. It reached the Cape (Africa's southernmost tip) five years later. Along the way rinderpest killed 90 per cent of the cattle. The loss of cattle destroyed African livelihoods. Planters, mine owners and colonial governments now successfully monopolised what scarce cattle resources that remained, to strengthen their power and to force Africans into the labour market.

c) The death of men of working-age in Europe because of the World War — World war led to death of millions of people most of whom were young men or men of working-age. These deaths and injuries reduced the able-bodied workforce in Europe. With fewer numbers within the family, household incomes declined after the war. Entire societies were also reorganised for war – as men went to battle, women stepped in to undertake jobs that earlier only men were expected to do.

d) The Great Depression on the Indian economy — In the nineteenth century, colonial India had become an exporter of agricultural goods and importer of manufactures. The depression immediately affected Indian trade. India's exports and imports nearly halved between 1928 and 1934. As international prices crashed, prices in India also plunged. Between 1928 and 1934, wheat prices in India fell by 50 per cent. Peasants and farmers suffered more than urban dwellers. Though agricultural prices fell sharply, the colonial government refused to reduce revenue demands.

e) The decision of MNCs to relocate production to Asian countries — The industrial world was also hit by unemployment that began rising from the mid-1970s and remained high until the early 1990s. From the late 1970s MNCs also began to shift production operations to low-wage Asian countries. The relocation of industry to low-wage countries stimulated world trade and capital flows. In the last two decades the world's economic geography has been transformed as countries such as India and China have undergone rapid economic transformation.

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