Indian Economy and Superpower
The Indian ecomomy is growing at the rate of 8% . Compare that number to a country that India often compete to become or supercede. US reported a economy growth rate of little over 2% not so little when compared in dollars. 8% of India's GDP of ~ $750 billion is $60 billion and 2% of 12.5 trillion of US economy is $250 billion so we still have a long way to go.
I read an article couple of days ago that said an average Indian had a pay raise of 15% last year while an average American received around 5% but the comparison also said it will take an average Indian 32 years to match an Amerian's pay assuming that the American doesnt get a pay raise in that 32 years. And there is already news that the logistics in developing countries like China and India are not upto the standards that the outsourcing countries are planning to pull back their outsourced jobs. Mind that this is for predominantly manufacturing. So maybe its about time that the Indian economy starts pumping some money into improving logistics for the jobs that are coming into the country.
posted by Smeagol @ 9:42 AM
4 comments
4 Comments:
You are making a mistake by confusing the growth in terms of real value & nominal value. India's 8%+ growth is made in terms of rupee and in dollar terms it has grown by nearly 15% in the last year as Rupee has appreciated by over 5%. Thus, India adds $100b+ per year currently expected to cross $900b by the end of the financial year. US is most likely to enter a recession this year and growth rate is most likely to fall below 1%.
All said, India is still behind US by atleast 20 years and I guess no one in India is denying this.
Anonymous: I would like to know what source your basing it off with regards to real Vs nominal value and 5% increase of Rupee against Dollar.
Yo how about updating the blog??
I strongly feel india still has market which cares only about price of the goods mainly in rural area, How to overcome the market compitation with reducing prise, mainly this reduced prise marketing happens from big producers. Are there any good future for small stores or small scale producers.
Thanks,
Ritika
www.forexsoftware-free.info
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