Is it true that the permanent settlement created problems because the zamindars were not investing in land improvement?

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Detailed Solution

The above statement is true. The permanent settlement created problems because the zamindars were not investing in land improvement.
By the first decade of the nineteenth century, market values were rising, and cultivation was gradually increasing. The zamindars' income rose as a result. Even then, the zamindars had little desire to improve the land. In the early years of the settlement, some people had lost their lands; others suddenly saw a way to make money without going through the hassle and risk of investing. The zamindars had little interest in enhancing the land as long as they could lease it to tenants and collect rent.

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