The Importance of Economic Growth (India and China)

China vs India by charts,” New Economist, 14 October 2005,http://neweconomist.blogs.com/new_economist/2005/10/china_vs_india_.html (from SimonWorld, also at PSD Blog).

Deutsche Bank recently compared Chinese and Indian economic growth over the past few years. It clearly shows how just a few years of slightly higher economic growth can change global power,a lot

china_india_gdp_per_capita_md
A Little More Economic Growth…
china_india_gdp_md
… a lot richer country

Growth is very important. Let’s hope American politicians have learned the lesson.

Update: The Asianist picks up the story from AsiaPundit, and agrees with the conventional wisdom

What this tells me is that China’s reform policies have paid off handsomely, but that China’s business culture has some strong hurdles. Conversely, India has fared less well due to slower reforms, but has a greater potential in the sense that there is more ingrained Western-style business culture.