INSIGHT UPSC QUIZ

GS History Modern India
Q.

Lord Wellesley's expansion policy was discontinued by East India Company for which of the following reasons?

1. Expansion through war was costly and was reducing the profit of company.

2. Napoleon emerged as a major threat in Europe at that time.

3. The Company decided to reward the loyalty of the princely states.

Select the correct answer using the code given below.

Explanation:

Statement 1 is correct. The company discovered that expansion through war was very costly and it is increasing the debt, so they checked this policy.

Thus, Option C is Correct. When Napoleon was becoming the threat in Europe, Britain economic condition was not prudent.

Statement 3 is not correct. It was the reason to discontinue annexation after revolt of 1857.

Thus, Option A is Correct.

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