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Option 1 states that the Permanent Settlement vested landownership rights in the Zamindar. This means that under the Permanent Settlement, the Zamindars were given the right to own and control the land. This is a characteristic of the Permanent Settlement and is true.
Option 2 states that the Permanent Settlement continued to pay attention to the customary occupancy rights of peasants. This is not a characteristic of the Permanent Settlement. The Permanent Settlement did not pay attention to the customary occupancy rights of peasants and instead focused on giving landownership rights to the Zamindars. Therefore, this option is correct and is the correct answer to the question.
Option 3 states that the burden of the high revenue assessment was shifted to the peasants under the Permanent Settlement. This is a characteristic of the Permanent Settlement. The high revenue assessment imposed by the British colonial government was indeed shifted to the peasants, leading to their economic exploitation and hardship. This option is incorrect.
Option 4 states that the condition of the actual cultivators of the land declined under the Permanent Settlement. This is a characteristic of the Permanent Settlement. The Permanent Settlement led to the decline of the condition of the actual cultivators as they were subjected to high revenue demands from the Zamindars. This option is true.
In conclusion, Option