<em>The goal of explaining why the majority of Indians stayed in the colonies </em>is the goal the passage addresses.
" ....it offered a new life ..... the authorities began to make a new offer to Indian workers...." The indians could get a small plot of land , if they grew sugar there.
It is false that the connotations of a word have little effect on its literal meaning. Connotation are your personal feelings that a certain word evokes when you think about it/read it/write it.
For example, the word home means a house, but its connotation is usually positive - you connect it with love, warmth, etc.
It would be A, because Everybody's Welcome is a title, and it acts like a name so it needs capital letters.
It wouldn't be B, because hometown isn't a name but a object/subject.
C, for the same reason as A : Everybody's Welcome is more of a name.