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Notices
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Ben (not verified)
3rd August 2017 | 5:41am

Comparing China and India is inherently flaw. The only similarity is both having massive population and two of the oldest civilizations. For all practical purposes, they’re not apples to apples comparison. Economically, they’re at a different stage of development with China having largely industrialized and now a high middle income economy that is at the threshold of a developed economy. With India, it’s only now entering the low middle income stage. They’re pretty much at the opposite end of the development spectrum as seen in absolute GDO, per capita, UN HDI, etc. India should grow faster than China over the coming years coming from a much lower base in the low middle income bracket. In fact, something is seriously wrong with India if it can’t achieve higher growth than a more developed China. The appropriate comparison for China has always been Japan and the Asian Tigers (especially S. Korea and Taiwan) given China’s development path and model has largely resembled its East Asian neighbors. The key challenge for China is to continue to move along that development path. For India, its development path is likely to be very different given it has different political/social institutions than those East Asian countries. Its development will likely be more gradual along the line of most emerging economies.