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What Can Be Learned About the Economies of China and India from Purchasing Power Comparisons?

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Author Info
Alan Heston () (Indian Council for Research on International Economic Rela)
Abstract

Comparisons of India and China have been made for over 50 years. This paper focuses on purchasing power estimates in China and India in the 2005 round of the UN International Comparison Programme (ICP) that was coordinated by the World Bank, the Regional Banks and Economic Commissions. The 2005 ICP round provides estimates of purchasing power parities (PPPs) of currencies and real product per capita for 146 countries, and the results for China and India are discussed in the context of the size of these economies. It also provides insights into the prospects of future economic growth in China and India as also policy recommendations for China and the likely scenarios in the future.

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Paper provided by Indian Council for Research on International Economic Relations, New Delhi, India in its series Indian Council for Research on International Economic Relations, New Delhi Working Papers with number 229.

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Length: 32 Pages
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Handle: RePEc:ind:icrier:229

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Related research
Keywords: purchasing power; China; India; economic growth; tertiary sector; capital stock;

Find related papers by JEL classification:
O14 - Economic Development, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Carsten A. Holz, 2006. "CHINA's REFORM PERIOD ECONOMIC GROWTH: HOW RELIABLE ARE ANGUS MADDISON's ESTIMATES?," Review of Income and Wealth, Blackwell Publishing, vol. 52(1), pages 85-119, 03. [Downloadable!] (restricted)
  2. Jahangir Aziz, 2007. "Rebalancing China's Economy: What Does Growth Theory Tell Us?," IMF Working Papers 06/291, International Monetary Fund. [Downloadable!]
  3. Loren Brandt & Carsten Holz, 2005. "Spatial Price Differences in China: Estimates and Implications," Microeconomics 0512001, EconWPA. [Downloadable!]
    Other versions:
  4. Feenstra, Robert C. & Heston, Alan & Timmer, Marcel P. & Deng, Haiyan, 2007. "Estimating real production and expenditures across nations : a proposal for improving the Penn World Tables," Policy Research Working Paper Series 4166, The World Bank. [Downloadable!]
    Other versions:
  5. Clark, Colin, 1976. "Economic Development in Communist China," Journal of Political Economy, University of Chicago Press, vol. 84(2), pages 239-64, April. [Downloadable!] (restricted)
  6. Kravis, Irving B., 1981. "An approximation of the relative real per capita GDP of the People's Republic of China," Journal of Comparative Economics, Elsevier, vol. 5(1), pages 60-78, March. [Downloadable!] (restricted)
  7. Heston, Alan & Nuxoll, Daniel A & Summers, Robert, 1994. "The Differential-Productivity Hypothesis and Purchasing-Power Parties: Some New Evidence," Review of International Economics, Blackwell Publishing, vol. 2(3), pages 227-43, October.
  8. Ravallion, Martin & Chen, Shaohua, 2007. "China's (uneven) progress against poverty," Journal of Development Economics, Elsevier, vol. 82(1), pages 1-42, January. [Downloadable!] (restricted)
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  9. Barry Bosworth & Susan M. Collins, 2007. "Accounting for Growth: Comparing China and India," NBER Working Papers 12943, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  10. Richard Herd & Sean Dougherty, 2007. "Growth Prospects in China and India Compared," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 4(1), pages 65-89, June. [Downloadable!]
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