Identify the meaning of the term ‘Rentier’?
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → People who live on rental income from property
Rentier is a term for people who live on rental income from property. British officials, following the economist Ricardo, believed that in Bengal the zamindars had turned into rentiers: they leased out their land and lived on the rents instead of improving it. This is one reason why a different system, the ryotwari settlement, was introduced in the Bombay Deccan.
NCERT (2025-26): “3.2 A new revenue system … Many British officials in India thought that the history of Bengal confirmed Ricardo’s theory. There the zamindars seemed to have turned into rentiers, leasing out land and living on the rental incomes. It was therefore necessary, the British officials now felt, to have a different system.… … Rentier is a term used to designate people who live on rental income from property.” |