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Comparing and contrasting growth of India with China

Author

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  • Gupta, Abhay

Abstract

This paper compares and contrasts the growth experience of India with that of China. Chinese economy has grown at much faster rate than Indian, but India seems to be catching up. The average estimated productivity growth rate of China (5.9%) is more than double that of India (2.4%). The difference between same-deflator average growth rates of India and China reduces significantly (by as much as 70%) for manufacturing sector. While increased growth of spending are accompanied by increase the growth rate of productivity in China, in India the correlation is negative. For India, service sector growth trend is more strongly correlated with government spending and infrastructure.

Suggested Citation

  • Gupta, Abhay, 2007. "Comparing and contrasting growth of India with China," MPRA Paper 9743, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:9743
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    File URL: https://mpra.ub.uni-muenchen.de/9743/1/MPRA_paper_9743.pdf
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    References listed on IDEAS

    as
    1. Barro, Robert J & Lee, Jong-Wha, 2001. "International Data on Educational Attainment: Updates and Implications," Oxford Economic Papers, Oxford University Press, vol. 53(3), pages 541-563, July.
    2. Carsten A. Holz, 2006. "CHINA's REFORM PERIOD ECONOMIC GROWTH: HOW RELIABLE ARE ANGUS MADDISON's ESTIMATES?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 52(1), pages 85-119, March.
    3. Barry Bosworth & Susan M. Collins, 2008. "Accounting for Growth: Comparing China and India," Journal of Economic Perspectives, American Economic Association, vol. 22(1), pages 45-66, Winter.
    Full references (including those not matched with items on IDEAS)

    More about this item

    JEL classification:

    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

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