Question 8. Consider the following statements:

  1. Pali texts contain the first definite references to coins, e.g., kahapana, nikkha, kamsa and kakanika.
  2. The literary evidence from Pali texts is corroborated by archaeological evidence of punch-marked coins from many sites, most of them made of silver.

The above statements have been associated with Which of the following?

  1. Emergence of urban life
  2. Transition to money economy

Select the answer using the code given below:

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Answer: (c) Both 1 and 2

Explanation:

The statements refer to important economic developments in ancient India, particularly around the sixth century BCE, when urban centres expanded and the use of coins became more widespread. These developments are associated with both the emergence of urban life and the transition towards a money economy.

1. Emergence of urban life – Correct: The growth of towns and cities increased the need for regular exchange of goods, specialised craft production and trade. The use of coins helped facilitate these activities. The emergence of urban centres during this period is commonly described as the Second Urbanisation of the Indian subcontinent.

2. Transition to a money economy – Correct: Pali Buddhist texts contain early definite references to coins such as kahapana, nikkha, kamsa and kakanika. Archaeological discoveries of punch-marked coins from numerous sites corroborate this literary evidence. Most early punch-marked coins were made of silver, although copper coins were also used. The growing use of money facilitated trade and monetary transactions, although barter continued alongside coinage.

Conclusion: Both statements are associated with the emergence of urban life and the transition towards a money economy. Therefore, the correct answer is (c) Both 1 and 2.

Subject: Ancient Indian History

Topic: Post-Mauryan Period