Step 1: Analyzing and Matching Each Book:
(A) India's Economic Crisis: The Way Ahead: This book, analyzing the 1991 economic crisis, was authored by Bimal Jalan, the former Governor of the Reserve Bank of India. This matches with (I).
(B) India: Economic Development and Social Opportunity: This influential work on development economics was co-authored by Nobel laureate Amartya Sen and development economist Jean Dreze. This matches with (II).
(C) India Divided: This book, which examines the partition of India, was written by Dr. Rajendra Prasad, the first President of India. This matches with (IV).
(D) India in Transition: Freeing the Economy: This book advocating for economic liberalization in India was written by the renowned economist Jagdish Bhagwati. This matches with (III).
Step 2: Forming the Correct Combination:
The correct pairings are:
A $\rightarrow$ I
B $\rightarrow$ II
C $\rightarrow$ IV
D $\rightarrow$ III
This corresponds to the sequence (A)-(I), (B)-(II), (C)-(IV), (D)-(III).
Step 3: Final Answer:
Looking at the options, option (B) matches our derived sequence.