Is China grown faster in the last nine years than India?China racing ahead
India’s income per head was about $3,200 in 2009. China reached that level of development nine years ago. The lag in social progress is much longer. India in nine years’ time will be as rich as China is today. That is because China grew faster in the last nine years than India is likely to grow over the next nine. China did not stop racing ahead.
China is benchmark Index and we are still far behind.
Only good thing about India is we have capability to catch the Dragon, may be 10 year or 20 years and 2nd Advantage is we are consumption based economy, So our growth will be good or moderate but won't crash/turn back upside-down. Also, we are democratic country, so there won't be any major uprising. We are not dependent on other countries.
But we are far behind and may be after 10-20 years, we will able to fill most of the gaps.
For Example: Adult Literacy of China is 94% whereas ours is 74% (2011 data), Our growth is around 10-14% CAGR for last couple of decades. So in next 2 decades, we might reach around 95%-98% same like China.
Internet user, Urban population, Per capita income, Higher education, growth of cities, Electricity and most of the other factors are directly proportional to GDP growth and Education. Remember, Most important part in any economy is GDP growth.
Let us assume, A Country GDP is 1 Trillion $. Growth 8% (+/- 1%), Inflation 6%(+/- 2%)
Then in 70 years, I trillion $ Economy becomes 100 trillion $.
But a country GDP is 1 Trillion $ and Growth 3% (Then Inflation won't make major difference), After 70 years, The GDP would be 10 Trillion $. Difference 10 times with 5% GDP growth difference.
If the magic of compound will continue, Then By 2050, Our economy will be around 50 Trillion $ from 1.7 Trillion $ currently. Where will be china @ that time, May be 35 Tr $ or 70 $. Does it make any difference at that time ? NO !!
So, We have to wait for comparison. As of now, China is way ahead.