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.

Question

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

Answer 1

India is a free democracy not a dictatorship, so decision making is slower. Secondly, China fakes its gdp stats. Thirdly, India is a more import-substitution based economy rather than exporting economy. India has been growing very fast since 1991 liberalisation whereas China liberalised 15 years before India. India’s GDP PPP per capita is similar to China 2012, and India is growing much faster now, so I think India will overtake them in the long term. Dictatorships will always fail in the long run. China is a pack of cards which is already stagnating.