 Marx’s analysis of colonialism as a progressive force bringing modernization to a backward feudal society sounds like a transparent rationalization for foreign domination. His account of British domination, however, reflects the same ambivalence that he shows towards capitalism in Europe. In both cases, Marx recognizes the immense suffering brought about during the transition from feudal to bourgeois society while insisting that the transition is both necessary and ultimately progressive. He argues that the penetration of foreign commerce will cause a social revolution in India. For Marx, this upheaval has both positive and negative consequences. When peasants lose their traditional livelihoods, there is a great deal of human suffering, but he also points out that traditional village communities are hardly idyllic; they are sites of caste oppression, slavery, misery, and cruelty. The first stage of the modernization process is entirely negative, because poor people pay heavy taxation to support British rule and endure the economic upheaval that results from the glut of cheaply produced English cotton. Eventually, however, British merchants begin to realize that Indians cannot pay for imported cloth or British administration if they don’t efficiently produce goods to trade, which provides an incentive for British investment in production and infrastructure. Even though Marx believed that British rule was motivated by greed and exercised through cruelty, he felt it was still the agent of progress. Thus, Marx’s discussion of British rule in India has three dimensions: an account of the progressive character of foreign rule, a critique of the human suffering involved, and a concluding argument that British rule must be temporary if the progressive potential is to be realized.