Step 1: Context of Mandsaur inscription.
The Mandsaur inscription is a 5th-century CE record that describes the activities of a guild of silk weavers who migrated from Gujarat and settled in Mandsaur (present-day Madhya Pradesh).
Step 2: Significance.
This inscription is important for economic history because it shows the role of guilds in ancient India and their contribution to temple construction and community works.
Step 3: Elimination of options.
- (A) Rajasthan: Incorrect, not the site of discovery.
- (B) Madhya Pradesh: Correct, Mandsaur is located here.
- (C) Karnataka: Incorrect, unrelated to this inscription.
- (D) Gujarat: The silk weavers came from Gujarat, but the inscription was not found there.
Conclusion: The inscription was discovered at Mandsaur in Madhya Pradesh.