Vol. 6 · pages 321–325
The Evolution of Provincial Finance in British India; The Problem of the Rupee; other economic writings
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DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES
learned ....... By the device of appointing the ministers
from the elected members of the (Legislature) and making
their tenure of office conditional on the retention of
their seats (there is) established at once some measure
of responsibility, in the form of responsibility to their
constituents and thus (is) put an end to the condition of
affairs in which those entrusted with the administration
are wholly irresponsible to the constituents who elect the
(Legislature).”
It is difficult to believe in the cogency of this piece of
reasoning. To argue that nothing can be learned without
experience is simply absurd. What is necessary for a proper
conduct on the part of an individual or a group is to understand
the meanings and values of things. For that it is unnecessary
to undergo actual trial. A Legislature composed of responsible
persons may be trusted to know the consequences of dismissing
a Minister at the start without having to wait to learn it
by experience. Again, to argue that the system is not the
less responsible because ministers are responsible to their
constituents is a shallow piece of pedantry. It was no doubt
argued by Austin, in connection with the English Constitution,
that the House of Commons was “ merely trustee for the body
by which they are elected and appointed.” It is true that in a
political sense the electors are the most important part of, we
may even say, are actually, the Sovereign power, since their
will is under every representative system of government sure
to obtain ultimate obedience. But as Prof. Dicey points out, 2
“any expressions which attribute to Parliamentary
electors a legal part in the process of law-making are
quite inconsistent with the view taken by the law of the
position of an elector The sole legal right of electors under
the English constitution (and the same is true under the
Indian constitution) is to elect members of Parliament.
Electors have no legal means of initiating, of sanctioning,
or of repealing the legislation of parliament. No court will
consider for a moment the argument that a law is invalid
as being opposed to the opinion of the electorate”:
and this exactly defines the status of the Indian electors. To
make the minister responsible to such a nonentity is to make him
1 Jurisprudence, Vol. I, 4th Ed., p. 253.
2 Law of the Constitution, 8th Ed., 1915, p. 57.
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A CRITIQUE OF THE CHANGE
virtually irresponsible. That the framers of the constitution were
not alive to these considerations in suggesting this particular
mode of appointing Ministers it is hard to believe. What is
more probable is that this particular mode of appointing
ministers was adopted because it permitted to select a man
who was more likely to co-operate with those in charge of the
reserved subjects and who being irremovable by the Legislature
would be less swayed by its wishes. But the Ministers cannot
remain altogether immune from the axe of the Legislature.
The dangers of the position of a minister who has cultivated
friendship with the councillor and has failed to ingratiate
himself into the favour of the Legislature, cannot fail to come
home to him on budget occasions. The proposals of the minister
as embodied in the budget will be liable to be reversed by a
vote of the majority of the Legislature, but neither he himself
nor the governor will be able to intervene. The minister’s only
remedy will be to resign.
Anyhow these circumstances which have, so to say,
saved dyarchy from failure are only transitory. The political
dissensions may be no more than a passing phase, and the
ministers from the second term of the reformed Legislature will
become amenable to it: so that before long the forces may be
organized better than they are, when dyarchy is sure to fail.
Hybrid executives, divided responsibility, division of
functions, reservation of powers, cannnot make for a good
system of government, and where there is no good system
of government there can be little hope for a sound system
of finance. The primary solution is that there should be an
undivided government with a collective responsibility. That,
however, can be achieved only when the whole of government
derives its mandate from a common source. That such a
consummation should take place as early as possible is devoutly
to be wished. In that behalf it is encouraging to know that
dyarchy is but a transitional system. The only question is
how long and protracted will the period of transition be. The
justification for introducing a dyarchical form of government
rests on the supposition that India is at present ill-prepared
to sustain a system of responsible government in . anything
like completeness, for owing to the lack of education and
political experience, the Indian electorate will for some time be
unable either to formulate their requirements intelligently or
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DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES
effectively impose a mandate upon their representatives, and
that owing to the inveterate social prejudices of the educated
classes there is a great danger of their abusing the political
power to exploit the masses. This cardinal fact, it was held,
must differentiate the degree and the kind of responsibility
which can be introduced at the outset from that which will be
the eventual resultant of the new system, and must impose
the obligation of ensuring that the forces which now hold the
people together are not completely withdrawn before satisfactory
substitutes are ready to take their place. On the other hand,
it has been urged 1 that there is no necessity to wait till the
cardinal fact disappears ; for
“in all countries responsibility in the beginning has
been entrusted to a very small section of the people, and
government has been in the hands of a small educated
minority, who have naturally cared for the interests of
the uneducated masses pending the spread of education
and the consequent extension of the franchise.”
This is of course a familiar line of argument which is
usually put forth in India by the political radicals and social
tories. If we put aside the painful story of the harsh, cruel
and inhuman treatment which the classes in India have
accorded to the masses, truth is on their side, for in every
country there have been downtrodden communities suffering
from social oppression and social injustice, and yet no country
has had to be without political power on that account. But
those who use this argument forget that if other countries
like America with her Negroes and Japan with her Hitas are
in possession of political power without having first destroyed
social inequality, it is due to the fact of their having been in
possession of military power. Military force and moral force are
the two chief means to political freedom, and a country which
cannot generate the former must cultivate the latter. Thus in
India the political problem is entirely a social problem, and a
postponement of its solution virtually postpones the day when
India can have a free government subject to the mandate of
none but her own people.
zzz
1 Cf. the evidence of the Hon. V. J. Patel and Mr. Madhava Rao before the
Joint Select Committee on the Government of India Bill. House of Commons
Return 203 of 1919, p. 106.
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INDEX
Accounts, Indian, mode of presentation :
199
Army Expenditure and Strength before
Mutiny : 80, 81
Assam :
Earthquake Relief Contributions :
167
Financial Arrangements for: 152 et
seq.
Imperial special Grants-in-Aid,
1897-1904: 168
Quasi-permanent Settlement, 19045: 171
Revision of Settlements, 1887-8:
160, 161, 162; 1892-3: 162, 163,
164 ; 1896-7: 164 et seq.
Surpluses and Deficits : 167
See also Eastern Bengal and
Assam
Bengal :
Budget of 1877-8, analysis : 139
Government Letter, January 1882 :
200
Imperial special Grants-in-Aid,
1897-1904 : 167
Permanent Settlements : 74, 177
Quasi-permanent Settlements, 19045: 172; 1906: 175
Revision of Settlements, 1887-8:
160, 161 ; 1892-3: 162, 163, 164;
1896-7: 164 et seq.
Shared Revenue Settlements, 18823: 153 et seq.
Surpluses and Deficits : 167
Bombay:
Budget of 1877-8, analysis : 142
Imperial special Grants-in-Aid,
1897-1904: 168
Permanent Settlements, 1912: 177
Quasi-permanent Settlements, 19056: 170
Revision of Settlements, 1887-8:
160, 161 ; 1892-3: 162, 163, 164;
1896-7: 164 et seq.
Shared Revenue, Settlements: 18823: 153 et seq.
Surpluses and Deficits : 167
Bryce, James : 225 note
Budget by Assignments, 1871-2 to 18767: 112 et seq.
Budget by Assigned Revenues, 1877-82:
131 et seq.
Budget by Shared Revenues, 18821921 : 149 et seq.
Burke Edmund : 236
Burma :
Financial Arrangements for: 149
et seq.
Imperial special Grants-in-Aid,
1897-1904: 168
Permanent Settlement, 1912 : 177
Quasi-permanent Settlement,
1907: 172
Revision of Settlements, 1887-8:
160, 161 ; 1892-3: 162, 163;
1896-7 : 164 et seq. ; 1902-3 :
169
Cannan, Professor E.: 231 note
Canning, Lord : 201, 230
Central Provinces :
Budget of 1877-8, analysis : 141
Famine Relief Contributions,
1896-7 : 164
Financial Settlement, 1882-3: 153
et seq.
Imperial special Grants-in-Aid,
1897-1904: 168
Permanent Settlement, 1912 : 177
Quasi-permanent Settlement: 170
Revision of Settlements, 1887-8:
160; 1892-3: 162, 163; 1896-7:
164 et seq.
Chesney, Colonel: 97
Cladwell, Mr: 228 note
Civil Service, Government of India
Act, 1858, regulations : 233 note
Colvin, Sir A.: 230 note
Cowell, Herbert: 66 note
Criminal Law Amendment Act, 1908 :
235
Criticism of Administrative Changes
under Reforms Act, 1919: 282 et
seq.
Customs and Excise:
Organization of yield from : 290,
291
Revenue, 1792-1817, Table: 77
note
Taxes under Imperial System : 75
et seq.
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310 DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES
Decentralization in British India, Report
of Royal Commission, 1908 : 71 note,
178, 199 note, 201, 216 note, 217 note,
218 note, et seq.
Devolution Rules, Government of India
Act, 1919 : 299 et seq.
Dicey, A. V.: 233 note, 306
Disraeli, Benjamin: 72
Durand, General, the Hon.: 99
Dyarchy in India, effects of: 296, 303, 307
Dyer, General: 228
East India’s Company’s Affairs :
Committees, 1813 and 1852 : 77, 211
note
Secret Committee, 1771 : 66
Eastern Bengal and Assam :
Formation of Province and
Financial Settlement, 1906: 175
Permanent Settlement, 1912 : 180
See also Assam.
Ellenborough Lord : 86
Famine and Plague Relief Contributions :
164, 166
Federalism in India:
Opposition to : 179
Origin of Movement: 89 et seq.,
103, 104, 204
Financial changes under Government of
India Act, Criticism of : 282 et seq.
Finlay, J. F. : 89 note Fisher, H.A.L.:
227 note
Fowler, R. N.: 228 note Frere, Sir Bartle :
105 note
Ghose, N.: 234 note, 235 note Gokhale,
Mr.: 281
Government of India Act, 1919: 225, 244,
255 et seq.
Changes in Provincial Constitution
and Powers : 245 et seq.
Devolutions and Adjustments : 255
et seq.
Report of Committee on the Bill,
1919: 245 note
Report of Financial Relations
Committee, 1919 : 267 et seq.
Report of Committee (Revision of
Draft Rules), 1920: 273
Halsbury, Lord : 233 note
Hastings, Warren : 229 note
Hearn, S.: 303
Hobart, Lord: 210 note
Home Rule Demands in India : 284 et seq.
Houghtom, Bernard : 234 note
Hunter, W. W. : 7 note, 110 note
llbert, Sir Courtenay : 238
Imperial System of Finance :
Act of 1833:68
Deficits 1834-46, Table : 72
Derangement of Finances, 1866-70,
Table: 110
Federalism v. Imperialism :89 et. seq.
Irresponsibility of Provincial
Governments: 85 et. seq., 89 et.
seq.
Origin and breakdown of : 65 et seq.
Provincial Contributions to : 199
Revenues and Services under: 70 et.
seq.
Revision of Machinery : 100 et seq.
Imperial Government:
Financial relations with Provincial
Governments : 196, 197
Limitations and restrictions: 213 et.
seq.
Import tariffs, Imperial system : 77
Income Tax Act, 1860 : 105
Indian Constitution, characteristics of: 226
Indian Constitutional Reforms Committee,
1918 : 216 note
Indian Councils Act: 125
Indian Executive :
Changes in Government, demand
for: 225 et seq.
Relations with Indian Legislature :
237
Repressive Legislation:
Indian Expenditure:
Percentage, 1877-8 to 1916-7, Table:
235
Royal Commission on : 197, 198 note
Services, Military and Civil, 1809-15,
Table: 81, 82
Indian Legislature, Constitution and
Powers : 237 et seq.
Indian National Congress, Reforms
Scheme, 1918: 241, 245
lyengar, Sir Bhashyam : 226 note
Jenkins, Sir Lawrence C. J.: 235 note
Kelkar, N. C. : 226 note
Laing.S. : 101, 105
Lal, Hon. Rai Bahadur Bakshi Sohan :
268 note
Land Revenue:
Inequities: 231
Provincial assessments : 113
Revenue, 1792-1817, Table : 74 note
Taxes under Imperial Finance
system: 73