Friday, October 8, 2010

India Catching China?

The political-economy blogosphere is replete with arguments that India’s economy will catch, and perhaps surpass, China because of India’s democratic political system. Who’s kidding who?

Take electricity production. In 2009, China produced 3,714 billion kWh compared with India’s output of 665.3 billion kWh. Total installed electricity capacity in China was 874 GW vs. India’s 162 GW. China’s output and grid are both five times greater than in India.

In 2009 China’s increase in electric grid capacity was 93 GW compared with 31 GW in India. China’s one-year increase equals 57% of India’s entire grid.

To this comparison can be added transportation indicators, industrial output, and so on. There is nothing wrong with stating a preference for democracy, but it is quite another matter to claim its superior economic performance in the China-India comparison.

1 comment :

Unknown said...

I totally agree.That India will catch up with China is a pipe dream. China has perfected a system of autocratic socialism with predatory capitalism. And it's working very well for them. China is sewing up supplies of oil, gas, copper and other resources.It's leaders have a goal of global dominance and are going about it with clinical precision.
The biggest worry for us Indians is that the USA is in a decline while China is growing at an alarming rate. The US expends itself in fighting unwinnable wars in Iraq and Afghanistan, China is all set to get Iraqi oil and Afghanistan copper.
Indian leaders are more concerned with remaining in power and winning the next election than planning for the future.In such a scenario we, Indians, should be mentally prepared to kowtow to the rampaging Dragon.