Anurag > Recent Status Updates

The focus has not been about visible consumption - but of the leisure class - which refrains from physical labour altogether.

Govt saving is low in India compared to China. China has a more dominant state-controlled banking than India's.

Telecom is probably the only infrastructure where India comes close to China.

Both Indian and China have state-controlled distribution of power. But stealing is rampant in Indian power sector. GS estimated that percentage of sales lost due to power outage is six times that of China. The Electricity Act of 2003 hasn't been able to do much.

Until 1990, Chinese infrastructure lagged behind India's (at least in terms of roads).

The land distribution in China is much less unequal than in India.

Chinese agriculture has moved from collective to private ownership.

Even though there is more evapo-transpiration in Indian river basisn, the reservoir storage in China is five times higher. Agricultural productivity is much higher as well. Although green revolution did help in India since 80s, it's the agricultural subsidy that Indian agriculture relies upon.

There is a bit of downside with the decentralization (because it presents local barriers).

The institutional foundations of Chinese reform have taken form of regional experimentation and regional competition (12). Compare with India's meagre 5%, more than half of total govt expenditure is spent at subprovincial levels. The party officials are businessmen. Indian officers have no local connection (no institutional memory and no stake in local performance) - an delegation based system works well for China.

National governments are much less involved in fiscal intervention in China than in India.

Herfindahl Index scores suggest that 3 times higher concentrated industries in India (than in China). Extremely small enterprises dominate India (institutional problems and diversities may have hampered formation of nationwide services).

State Laws are often modifiable in India.

Unorganized services sector grew more than the corporate services e.g. finance, IT (IMO the claim that higher income industries drove this sector needs to be discussed).