Finance, Forex and Investments

What are similarities and differences between the economy of china and that of india from the 1970's to today?

For AP World History, a question on our worksheet.

Public Comments

1. well u need a book to see the diff jesus christ was in our lives and he had dreads so we shaked emm in india they had ghandi and he shaked his bald head the economy of china makes bad merchandise
2. There really have not been significant economic ties between the two countries in recent years. India-China trade currently accounts for just $3 billion a year, although that number has grown exponentially since the late 1970s. Although the two countries are geographic neighbors, the border they share is in the Himalayas, and thus quite difficult to cross. However, there are increasingly convergent views on the need for increased trade. One area of increased cooperation is in the information technology industries. China's software companies have looked to Indian IT firms and their business models. Still, this cooperation is increasingly turning to competition, as China tries to displace India as Asia's software center. The energy industry might represent another area of cooperation. India and China are both energy importers that depend heavily on Middle East oil, and both must confront the pollution that has resulted from decades of burning coal. Both nations are increasingly interested in liquefied natural gas as a solution to their energy needs. Although there is some cooperation, the recent economic history can be seen as two competitors vying to become the regional economic power. Both countries have seen remarkable economic growth in the past two decades, with more people pulled out of poverty than at any other time in world history. Economic growth was spurred by a reform process and opening up of their economies. China's reforms began in 1978, and Beijing has consistently sped the pace of reforms ever since. India began a gradual reform process in the early 1980s, though it really did not begin to open up the economy until 1991. Since that year, the Indian economic reform process has been inconsistent with many stops and starts. China has come much further than India in poverty reduction, and is well ahead in a comparison of average life expectancy and literacy. Although China's growth has been faster than India's and is still higher overall, it has also slowed down to a greater extent than India's. Indian growth may eventually pass China's, if China's continues to decline.