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The Battle of Economic Su Remacy OriginalArtile JournalofSocialelfareandManagement olumeNumber,JanuaryMarch DOIhttpdx.doi.org.jswm.... DragonvsElehant:TheBattleofEconomicSuremacy AnandMittal,Niitaanth,ArunMittal Astract AneffortismadeinthisarticletocomparetheeconomiesoftwoAsiangiants,IndiaandChina.hileChina is world’s second largest economy, India also appears to be a promising endeaor. The recent growth in the GDPofIndiahasflabbergastedeconomistallaroundtheglobe.ewouldtrytounderstandthetwoeconomies indiiduallyandthentrytocomparethetwoeconomiesonsomesuitableparameters.eshouldbearthefactin ourmindthatthemostcrucialfactorinacountry’sdeelopmentis,whetherthestandardofliingofitscitizenshas improedornot.TheChineseeconomy,owingtoitsfourtimeslargersize,canaddmoreoutputtoitseconomyat .GDPgrowththanwhatIndiawouldaddatGDPgrowthrate.DatapointsoutthatChina’seconomyisin betterconditionthanIndianeconomyintermsofHDIandGDPbutstillitwillnotbeanexaggerationtosaythat ChinahasalsopaidthepriceforeconomicgrowthintermsofciilianrightsandIndiidualfreedom.TheChinese goernment’scommunistmindandIndia’scorruptionatalltiersappearsasbighaltsinachieingtheseobjecties. Atlastwewouldalsotrytounderstandthefewbigchallengestheseeconomiesfaceorwillfaceinnearfuture. Thispapershallstrengthenitsconclusionbyusingmathematicaltoolssuchasgraphics,charts,statistics,etc.The analysiscouldbehelpfulfornotonlyunderstandingtheeconomicstructureofthetwonationsbutalsoinresoling someofthebuddingproblemswhichcouldturnintomammothobstaclesinnearfuture. eyords:China;India;Economiccomparison;Tradepatterns;HDIComparison;Inestmentcomparison. Introduction and the approaches opted by both countries in relationwitheachotherandrestoftheworld.This The bilateral relationship between the People’s hasbeenattentiongrabbingsincemanydecades. RepublicofChinaandRepublicofIndiaistermed The rise in middle class consumer society as Sino India relations or China India relations. has resulted in turning India and China into China and India are the emerging countries bigger market for western European world. The with the largest population and fastest growing increasingmarketingpowersofthesetwoemerging economies.BoththeNationscontributeofthe economieshaemadeagreatsignicanceinrapidly world population and of the alue of world globalizingworldeconomy. outputandincomeatcurrentpricesandexchange ith the common resource i.e. the young rates.Eenthoughboththecountrieshaesimilar working population as driing force to become characteristics of deelopment yet there is a ast an emerging economy in the world, India and differenceinthenatureofeconomicdeelopment Chinahaebecomecompetitieaboutbeingmore inuentialthanother,inAsianandglobalmarkets. Asin todayChina issuperiortoIndiainarious Authors Affiliation: Associate Professor, Department sectors like manufacturing, trade and commerce of Economics, Hansraj College, Uniersity of Delhi, Delhi in the international market. heneer China and ,India.StudentScholar,HansrajCollege,Uniersityof Indiaarecloselycompared,thedifferencebetween Delhi, Delhi , India. AssistantProfessor, Department thedragonandelephantisimmediatelynoticeable. ofCommerce,ShriRamCollageofCommerce,Delhi, India. Factors like social, economic, political, cultural Coressonding Author: Anand Mittal, Associate etc. hae been a constant source of inuence for Professor, Department of Economics, Hansraj College, the economy of India and China. As in today UniersityofDelhi,Delhi,India. China is much ahead of India and it is predicted E-mail:dr.anandmittalyahoo.com that for seeral upcoming decades, China would RedFlowerPublicationPt.Ltd. AnandMittal,NikitaPanth,ArjunMittalDragonsElephantTheBattleofEconomicSupremacy stay at the top of Asian economic table. India’s policies not only mend the economic policies but growth has not been able to outpace China oer also make the comparison multidimensional. the past few decades but in the near future it is hileChinawasdeelopingacommunistmodel, certainly expected to reach its potential capacity India was trying to make its economy deelop and gie a stiff competitionto Chinese economy. moreondemocraticlines.Thisstudyaimstodothe India needs to reform policies and increase comparisononariouseconomicindicesanditwill inestmentininfrastructure,educationandbetter also trytopredictthe future for both the nations goernment. India’s GDP is estimated at around basedonsomecalculations. USD . trillion while China’s aerage GDP is almost.trillion. RevieofLiterature Since late ’s China has been more market oriented other than being a closed centrally Indian economy is deeloping at a growth planned system. Reforms were slowly directed rate of less than in GDP per annum whereas which resulted in increase in GDP since . GDP growth rate of China has been oer The beginning ofthe reforms marked remoal of for last decade or so. This fact would pose a collectiist agriculture and gradual liberalization uestion shall we compare the Chinese and the ofprices,scaldecentralization,riseinautonomy of state enterprises, signicant growth of priate Indianeconomy Questions like thesemadesuch sector deelopment of stock market and banking comparison, a subject of intense inestigation. In system and introduction of FDI. On the other hisbookIndiaEconomicDeelopmentandSocial hand,India’seconomyreolesaroundtraditional Opportunity, Jean Dreze and Amartya Sen hae farming,agriculture,handicraftsandwiderangeof highlighted some of the aspects which became modernindustriesandalargenumberofserices. determinant in the comparatiely slower growth MorethanhalfoftheworkingpopulationinIndia of Indian economy than Chinese economy. Some isinagriculture,butsericeshaeplayeditalrole of the sectors like health care and education lack in the economic growth, estimating nearly two adeuate proisions which could boost Indian thirds of India’s output but employing less than economic growth. Comparing ourseles with onethirdofitslaborforce.Indiaisdeelopingas Chinainthesereallyimportantmatterswouldbe anopenmarketeconomy. aerygoodperspectie,andtheycanbothinspire usandgieusilluminationaboutwhattodoand India has to achiee a lot in Economic sphere. what not to doDespitethe interestin the subject ThebiggeruestioniswhetherIndiashouldstickto (ofcomparingIndia’sgrowthtoChina’s) itsownpoliciesorIstheresomethingthatboththe thisissurelyasillyfocus.(AmartyaSen,)The neighboring countries can learn fromeach other most signicant works on this topic include both ewilltrytoderiesomeconclusions. BosworthandColluns(),HuangandKhanna (), Sriniasan (), u . (), Kumari Objectives DeepikaandNeenaMalhotra,()amongothers. TNSriniasaninhisworkChinaandIndiaopen India and China, two of the Asian giants hae this, trade and effect on economic growth’ says, locked horns against one another to become China and India share some common elements world’sbiggesteconomicsuperpower.hileboth Geographically they share the same continent; countries are constantly adopting policies that demographically they are giant with population wouldbehelpfulintheireconomicgrowth,China exceeding billion. The main difference is that stillhas an upper handin absolutemeasures but thetwocountrieshaedifferentpoliticalsystems. there is another side of the picture too, when we () anrui u () found that economic measuregrowthrelatiely.Theaimofthisarticle deelopment in arious regions of India and istoproideacomprehensieiewofIndianand China are not balanced.hile both thecountries Chinese economy. It will also try to analyze the tendtomoetowardsurbanization,bothofthem economicpoliciesthatboththecountriesadopted shouldtrytomaintainanoptimalbalanceamongst andtheresultingeconomicstructurefromthesame. ariousregionsintheirpursuit.InIndia,themajor ewilltakeintoaccountthefactthatyearsof cause for such a regional disparity turns out to colonization drained a lot of wealth out of India, be difference in human resource deelopment whereas China has neer faced any colonization whereas in China it is the exports factors which andhencewasdeelopingonaplannedeconomic haeledtothisunbalance.Althoughthesendings model for ery long. The historical and cultural aresubjecttoauthentication,buttheypointoutthe JournalofSocialelfareandManagementolumeNumberJanuaryMarch AnandMittal,NikitaPanth,ArjunMittalDragonsElephantTheBattleofEconomicSupremacy possible policy decision that Indian and China’s moretoitseconomythanNewDelhiowingtoits goernment might take in future. The minorand timeslargereconomy. major similarities and differences hae made the difference in the oerall economic growth ia Tale:IncreaseinGDPofariousCountriesinBilliondollars economicpolicies. GDIncreasefromto Country inBillion DataandMethodology Canada Italy This project of the comparison of Indian and Japan Chinese economy inoles extensie study of France ariousliteratures. Thedata hasbeentakenfrom Germany secondarysources.Itwascollectedfromtrustworthy USA secondarysourcessuchasorldBank,UNESCO, China orldEconomicForumandHumanDeelopment India Report (HDR), . The data on GDP, mortality SourceorldEconomicOutlook,IMF rate,tuberculosiscasesandotherindicesaffecting HDI were collected and analyzed by the authors Thisdataisstaggeringforthisanalysisbecause inacomprehensiemanner.Theanalysishasbeen itshowsthatIndia needsto growbytoadd presented by using arious tables and graphical to its economy what China adds to its economy representations.Authorshaetriedtodrawsome at..Thisnotonlyshowsthesheersizeofthe conclusionsbasedontheseanalysisandalsotried Chineseeconomybutalsouestionsthefutilityofa to bring out some recommendations for both comparatiestudyofIndianandChineseeconomy. countries,whichtheyshallimplementinorderto
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