how is India, equally populated country to China, is nowhere near the economy level China (EVERYTHING is made in here) has achieved with its manpower.
In: Economics
India, in the 80s, saw that it could not compete with the Chinese in manufacturing so they tried to speed run by going from an agriculture-based straight to a service based-economy. And the thing about the service based economy is that there is no where near enough white collar jobs to accommodate its 1b population so the people who can’t get a white collar job have to fall back to farming which contribute little to personal and national wealth. And no manufacturing means no skilled workers which mean no foreign investment, and even if foreigners want to build a factory in India, the infrastructure was incredibly inadequate which inhibited the transportation of goods and materials. Recent administration had realized the error of their ways and invested heavily into infrastructure development and manufacturing base and India is beginning to attract foreign investment as cost of manufacturing is going up in China.
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