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If anything characterized the Chinese economy in recent years has been its ability to grow at a fast pace.
Well , it’s official. in 2015 another Asian megaeconomía grew faster than china
in this case, the crown of growth takes is India, with its 1,250 million is the largest democracy in the world.
And, experts say, it is its democratic political system which can be giving an advantage over China.
official data New Delhi indicate that the economy grew at the extraordinary rate of 7.5% year.
While China did a 6.9%.
it is not the first time it happens. But China had 15 years of seemingly unparalleled growth.
Since 1999, this did not give rise to India.
parallel Destination
Among these two nations is about one third of the inhabitants of humanity.
And there are several things that look alike.
Both countries emerged in the 1990s after a long period of economic stagnation account policy of state intervention.
in the case of China, implemented by the communist government.
And in India, for several administrations socialist who came to power through elections.
Both China and India, the emergence of free market policies transformed the economy and changed the lives of hundreds of millions of its inhabitants.
But so far was China which repeatedly led in the economic dispute between the two most populous nations on earth.
a circumstance that may be changing as the Chinese economy slows.
questionable figures?
India feels good about herself.
the government of Prime Minister Narendra Modi says growth will accelerate further in 2016, a 7.6% .
the president has been traveling the world, telling the businessmen to invest in India.
Although some doubt the boom really has those dimensions.
“There has been a lot of skepticism about the GDP data since the government revised the how it calculated a year ago, “says Yogita Limaye, BBC correspondent in Bombay.
” But all economists with whom I have talked say there is no doubt that India’s economy is expanding , making it an unusual source of prosperity among emerging nations, “adds our correspondent.
the impact of democracy
as significant as the parallels are the differences in the economic strategy of these two potentates.
China became primarily a gigantic manufacturing powerhouse, building all consumer goods that Western nations wanted to buy.
Meanwhile, India has specialized in the export of services, particularly in sectors such as IT, where real armies of programmers working for local and foreign firms helping to draft source code and operating many of the world’s computers.
India today leads the world’s largest recipient of foreign investment in completely new companies. And the International Monetary Fund said last year it expected in 2020, India will continue to be the fastest growing major economy in the world.
And the formula? Ironically it is the same as before said they favored China. The differences between the political systems of both countries
A few years Well ago it was said that the authoritarian nature of the Chinese political system gave the state the ability to with little resistance mobilize the enormous resources needed to build huge factories and infrastructure characteristics of the country.
India, however, is a parliamentary democracy. But in this new phase of growth which are coming these countries, which depends more on the individual enterprise to create high-tech enterprises, the Indian system, with its commitment to the rule of law and democracy can offer better incentives to private investors.
Hence some think it is more likely that the “next Apple,” the company to revolutionize the economy, appears in India rather than China.
Size
No matter what happens, and even though its economy is growing faster, India still has a good way to overcome before calling in size to the Chinese economy, second largest in the world after the United States.
Instead India ranks only tenth place, behind countries such as Italy, Brazil and Russia.
GDP $ 2,000 billion , its economy is about five times lower than that of China.
But the trend matter. And in the long run, it may be India which go down in history as the great engine of global development in the first decades of the century.
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