Consider the following statements: I. Pali texts contain the first definite references to coins, e.g

Question

Consider the following statements: I. Pali texts contain the first definite references to coins, e.g., kahapana, nikkha, kamsa, and kakanika. II. 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

Accepted Answer

The introduction of coinage in ancient India (6th century BCE) is associated with both the Second Urbanization in the Gangetic valley (growth of Mahajanapadas, fortified cities, organized artisan guilds, long-distance trade) and a definitive shift from barter to a money economy (standardized pricing, wage payments, money-lending as documented in early Buddhist literature).