Book Excerpt | India's growth story diverges from the pan-Asian narrative
1 year ago

Book Excerpt | India's growth story diverges from the pan-Asian narrative

Deccan Chronicle  

Asian export-led growth accelerated the typical shift in labour between sectors, but the transformation was similar to the one that rich countries had already gone through. Thus, the manufacturing share of employment in an economy as a function of its income per person first increases as workers move from agriculture to manufacturing, then decreases as they move from manufacturing to services. Typically, manufacturing’s share of workers decreases only when a country becomes quite rich, and indeed even then, given the high productivity of manufacturing jobs, its share of the economy’s output does not decrease as fast. Between 1980 and 2018, India’s GDP per capita grew at an average of 4.6 per cent per annum, and the decadal average never fell below 3 per cent. This has happened long before these countries reached the levels of per capita income at which a country’s share of manufacturing typically started declining in the past.

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History of this topic

Stagnant wages amid fast economic growth: We need an Indian Enlightenment
2 days, 16 hours ago

Stagnant wages amid fast economic growth: We need an Indian Enlightenment

Live Mint  

India’s economic growth story has been impressive. Wage stagnation amid rising inflation: The disparity between India’s economic growth and stagnant wages is stark. Chief economic advisor V. Anantha Nageswaran warns that low wages could stifle India’s long-term potential by weakening consumer demand and the quality of life for millions. This is not the template for a ‘Viksit Bharat.’ The paradox …

Size matters: Decoding Indian manufacturing’s problem of scale
1 month, 1 week ago

Size matters: Decoding Indian manufacturing’s problem of scale

Live Mint  

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India to contribute 20 pc of global workforce growth between 2023-2050, China share to decline: Report
1 month, 3 weeks ago

India to contribute 20 pc of global workforce growth between 2023-2050, China share to decline: Report

Live Mint  

New Delhi, : India is set to play a pivotal role in global workforce growth, contributing 20 per cent of it between 2023 and 2050, according to a report by Angel One Wealth. It said "By 2030 high-income households are expected to triple, while middle-income households will nearly double making India the fastest-growing nation in terms of per capita income". …

India to contribute 20 pc of global workforce growth between 2023-50, China share to decline: Report
1 month, 3 weeks ago

India to contribute 20 pc of global workforce growth between 2023-50, China share to decline: Report

New Indian Express  

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Mint Primer | Mind the income gap: Is India becoming a plutocracy?
9 months, 3 weeks ago

Mint Primer | Mind the income gap: Is India becoming a plutocracy?

Live Mint  

Income and wealth inequality in India are at a historical peak with the share of the richest 1% higher than in countries like China and Brazil, finds a new study by the World Inequality Lab. Inequality in India declined post-independence till early-1980s, after which it began rising and skyrocketed beginning 2000s, shows the report titled ‘Income and Wealth Inequality in …

Book Review | India almost middle-income, yet needs to become ‘thinking nation’
11 months, 3 weeks ago

Book Review | India almost middle-income, yet needs to become ‘thinking nation’

Deccan Chronicle  

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Manufacturing versus services: It’s not one or the other
1 year ago

Manufacturing versus services: It’s not one or the other

Live Mint  

An economy produces two broad types of output: farm and non-farm. Whether the manufacturing or services sector grows faster depends on the policy environment, domestic and global demand, and the sector’s comparative advantage. Second, highly skilled services, like in the information technology sector, depend less on physical infrastructure such as roads and ports for production and delivery, and India has …

Bharat’s Model of Economic Growth Cannot Be Built on Western Models - News18
1 year, 2 months ago

Bharat’s Model of Economic Growth Cannot Be Built on Western Models - News18

News 18  

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Indian economic prospects may require a more realistic analysis
1 year, 4 months ago

Indian economic prospects may require a more realistic analysis

Live Mint  

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India's GDP growth exceeds expectations, but key to 'Amrit Kaal' lies in manufacturing
1 year, 7 months ago

India's GDP growth exceeds expectations, but key to 'Amrit Kaal' lies in manufacturing

Firstpost  

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India’s economy picks up speed amid global slowdown
1 year, 7 months ago

India’s economy picks up speed amid global slowdown

Al Jazeera  

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India's GDP Growth: Economists Must Not Go by Face Value & Assess Data Robustly
1 year, 10 months ago

India's GDP Growth: Economists Must Not Go by Face Value & Assess Data Robustly

The Quint  

As argued before, while reviewing the macro-elements and components of growth in any statistical interpretation exercise, it’s difficult to get the full picture one needs. For example, keeping aside the base effect, the fact that private consumption demand is still woefully low, indicates how much of the low-middle income and middle-income class in India is ‘consuming less’ and their demand …

How growth stories of India and China stack up
1 year, 11 months ago

How growth stories of India and China stack up

Live Mint  

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India Inc could play a lead role in our economy’s global emergence
2 years, 6 months ago

India Inc could play a lead role in our economy’s global emergence

Live Mint  

As India celebrates its 75th year of Independence with the Azadi ka Amrit Mahotsav, we stand at the cusp of a new emerging world order. As former PM Manmohan Singh had commented, “The brightest jewel in the British crown was the poorest country in the world in terms of per capita income at the beginning of the 20th century.” Post-independence, …

Explained: Why India's economy needs a manufacturing push
3 years, 4 months ago

Explained: Why India's economy needs a manufacturing push

India Today  

India’s economy needs a strong manufacturing push as the nation’s dominant services sector struggles to return to normalcy after two deadly waves of the Covid-19 pandemic. Read | Covid-19: India’s services activity in May contracts for 1st time in 8 months SLOW PROGRESS IN MANUFACTURING Even before the pandemic brought the economy to a standstill in 2020, growth in India’s …

India must get its manufacturing policy right this time
4 years ago

India must get its manufacturing policy right this time

Live Mint  

Two headlines in Mint point to a window of opportunity for India to fix a festering problem of its economy. The first: “India in a Deglobalizing World”; and the second: “PLI Wind in Sails for India Inc.” India’s manufacturing sector lacks sufficient depth for a large country. In 1990, India’s manufacturing sector was comparable with China’s. Not only has China …

The secret sauce behind Asia’s growth miracles
4 years, 5 months ago

The secret sauce behind Asia’s growth miracles

Live Mint  

It is well-recognized today that India’s infrastructure deficit needs to be fixed. Unsurprisingly, the Reserve Bank of India Governor Shaktikanta Das called for a big infra push to revive India’s growth engines at a Confederation of Indian Industries event a few days ago. What is less well recognized is the role of India’s social infrastructure deficits --- in education, skills, …

Well-deserved Festschrift
5 years, 2 months ago

Well-deserved Festschrift

The Hindu  

“D eepak Nayyar —a great teacher, an eminent academic, a distinguished policymaker and a leading thinker of our times,” says the opening sentence of this volume authored by his friends and admirers from different parts of the globe. On the early stages, it remarks: “While the global polity had an alternative to the NATO powers, the global economy too had …

How Nehru led to agrarian distress and what could be the way forward for inclusive growth
5 years, 11 months ago

How Nehru led to agrarian distress and what could be the way forward for inclusive growth

Op India  

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Has economic growth in India been jobless?
6 years, 1 month ago

Has economic growth in India been jobless?

Live Mint  

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Opinion | India needs better jobs, not just more of them
6 years, 4 months ago

Opinion | India needs better jobs, not just more of them

Live Mint  

It is an essential input for economic development, creating new markets, new industries and productivity-enhancing innovation. It is also a political economy headache, narrowing the space for policy manoeuvring and creating political incentives for counterproductive palliative measures—think subsidies, rigid labour laws and quota creep. Second, India’s employment elasticity—the percentage change in employment associated with one percentage point change in economic …

India’s job challenge: Options aplenty but well-paying ones elude workforce
6 years, 4 months ago

India’s job challenge: Options aplenty but well-paying ones elude workforce

Hindustan Times  

Everybody agrees that employment generation is India’s biggest political-economy challenge. While the share of agriculture in India’s GDP has been coming down, its share of employment has been relatively constant. The relative share being greater than one will mean that the sector’s income share is greater than its employment share in the economy. A 2014 Reserve Bank of India working …

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