Abstract
This chapter presents a general comparative discussion on the economies of India and China. Two key points are highlighted. Firstly, the nature of business density in China and India acting as a proxy for the level of entrepreneurship. According to the World Bank (2016), new business density in India was 0.12 while in Hong Kong SAR, China it was 31.3. In terms of the level of entrepreneurship, China is at 60th position in the world with an entrepreneurial measure of 34.9; with India at position 98th in the world with an entrepreneurial measure of 24.9. Secondly, the nature of Total Factor Productivity in both countries over time. Furthermore, in the period 1950 to 2011, the percentage change in capital stock (productive assets) and Total Factor Productivity growth (proxy for the growth of knowledge) has been much faster in China then it has been in India, during the period 1950 to 2011.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Amin, M., & Mattoo, A. (2008). Human capital and the changing structure of the indian economy. Policy Research Working Paper, 4576. Washington, DC: World Bank.
Arnold, J., Javorcik, B., Lipscomb, M., & Mattoo, A. (2016). Services Reform and Manufacturing Performance: Evidence from India. The Economic Journal, 126(590), 1–39.
Arora, R., & Ratnasiri, S. (2015). Economic reforms, growth and well-being: Evidence from India. Journal of Economic Policy Reform, 18(1).
Dabla-Norris, E., Ho, G., Kochhar, K., Kyobe, A., & Tchaidze, R. (2013). Anchoring growth: The importance of productivity-enhancing reforms in emerging market and developing economies. IMF Staff Discussion Note SDN/13/08, IMF, Washington, DC.
Dasgupta, S., & Singh, A. (2005). Will services be the new engine of Indian economic growth. Development and Change, 36(6).
Deheng, S. (2006). Special economic zones and economic growth in China. In On Conference of ‘Special Economic Zones: Growth Drivers of Maharashtra, June 2006, World Trade Centre, Mumbai.
Feenstra, R. (2016). Advanced international trade: Theory and evidence. New Jersey: Princeton University Press.
Ghani, E., Goswami, A., & Kerr, W. (2012). Is India’s manufacturing sector moving away from cities? NBER Working Paper No.17992.
Joumard, I., Sila, U., & Morgavi, H. (2015). Challenges and opportunities of India’s manufacturing sector. OECD Economics Department Working papers, No. 1183, OECD Publishing, http://dx.doi.org/10.1787/5js7t9q14m0q-en.
Kaldor, N. (1966). Causes of the slow rate of economic growth of the United Kingdom. Cambridge: Cambridge University Press.
Kaldor, N. (1967). Strategic factors in economic development. Ithaca, NY: Cornell University.
Kaldor, N. (1968). Productivity and growth in manufacturing industry: A reply. Economica, 35, 385–391.
Kohli, A. (2006). Politics of economic growth in India, 1980–2005: Part I: The 1980s. Economic and Political Weekly, 41(13).
Kwok, R. Y. W. (1986). Structure and policies in industrial planning in the shenzhen special economic zone. In Y. C Jao & C. K Leung (Eds.). China’s special economic zones: Policies, problems and prospects. Oxford: Oxford University Press.
Leahy, J. (2016). Brazil GDP shrinks 3.8%, http://www.ft.com/cms/s/0/57a3a1e8-e13e-11e5-8d9b-e88a2a889797.html#axzz44DHDsxwX.
Liu, H., & Yang, T. (2015). Explaining the productivity gap between China and India: The role of structural transformation. The Developing Economies, 53(2).
Loayza, N., Oviedo, A. M., & Serven, L. (2010). Regulation and macroeconomic performance. In N. V. Loayza & L. Serven (Eds.), Business regulation and economic performance (pp. 65–117). Washington, DC: World Bank.
Park, J.-D. (1997). The special economic zones of China and their impact on its economic development. Westport, CT: Praeger Publishers, Greenwood Publishing Group Inc.
Prasad, E. (2016). This is India’s moment—Narendra Modi must not waste it, http://www.ft.com/cms/s/0/98341dd0-ef73-11e5-9f20-c3a047354386.html#axzz44DHDsxwX.
Purfield, C. (2006). Mind the gap—Is economic growth in India leaving some states behind? Washington, DC: Asia and Pacific Department, International Monetary Fund.
Qureshi, Z., Diaz-Sanchez, J., & Varoudakis, A. (2015). The post-crisis growth slowdown in emerging economies and the role of structural reforms. Global Journal of Emerging Market Economies, 7(2).
Stacey, K. (2017). India cash recall sparks jobs crunch, says industry body, https://www.ft.com/content/e498b1ac-d647-11e6-944b-e7eb37a6aa8e.
Wei, Y., & Balasubramanyam, V. (2015). A comparative analysis of China and India’s manufacturing sectors. Economics Working Paper Series, 2015/003, Lancaster University Management School.
Wei-ming, T. (1991). Cultural China: The periphery as the centre: Daedalus, 120(2); The living tree: The changing meaning of being Chinese today (Spring 1991), pp. 1–32.
World Bank. (2016). Doing business—Entrepreneurship, http://www.doingbusiness.org/data/exploretopics/entrepreneurship.
Zoltan, A., Szerb, L., & Autio, E. (2016). Global entrepreneurship and development index. Springer.
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
Copyright information
© 2017 The Author(s)
About this chapter
Cite this chapter
Ramesh, S. (2017). Introduction. In: China's Lessons for India: Volume I. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-58112-5_1
Download citation
DOI: https://doi.org/10.1007/978-3-319-58112-5_1
Published:
Publisher Name: Palgrave Macmillan, Cham
Print ISBN: 978-3-319-58111-8
Online ISBN: 978-3-319-58112-5
eBook Packages: Economics and FinanceEconomics and Finance (R0)