Firstly China have stable government which is very hard to have in India because of so many parties,even a small regional party having 2 3 seats providing its support to leading party start blackmailing the one for their benefits.For proper development we need a stable government which can make policies and implement them properly but that is what we can just imagine in India.Secondly their efficiency of making economical products as i am working in manufacturing industry i have found that china provide the chemicals and raw materials in very cheap rates which are much lesser than the local suppliers that makes me furious and i started researching about that and found that china has made development zone wise like if a particular area is making motors then whole country’s motors will be manufactured there only. so they are leading world market with their economical products.This type of system is missing in India which increases cost of raw materials itself in the country.Lastly and the important one brain drain. In china their best brains are serving their country while best Indian brains are serving US and Europe but its not their fault they don’t get opportunity in India according to their talent while outside India they not only get good opportunity,handsome pay but also respect for their talent.Caste based reservation also serves a lot in sending them out as many of good students don’t get their due because of reservation in India.One thing I also noticed is office politics which prevails very much in India even people at the senior management level do back bitching there are very less people appreciating your good efforts and more people pulling you backward.Everyone here works only for their benefit not for organizational goals.
Short answer: In my view, India didn''''t grow as fast as China in last 40 years since she didn''''t invest (efficiently) enough in infrastructure and is restricted by a democratic system. Mind you, a democracy is better for human (and environmental) rights but decision making is slow, costly and risk averse.
First, China is a socialist country, which means that they cannot only cater to the “sophisticated”, the “rich” and the “educated”. Their development strategy has successfully lifted 600 million people out of poverty (which is a very impressive feat in and of itself). I’m not intimately familiar with the Indian figure.Second, China has the largest high-speed rail network (larger than the rest of the world combined), has the largest online market in the world, the most well-developed mobile payment system in the world, a logistic system that is on par with that of the U.S. and Europe (some may argue theirs is much better…), a sleuth of indigenous internet companies like China Telecom (largest telcom in the world), Huawei (largest telcom device provider in the world), Alibaba (largest online retailer in the world) and Tencent (largest social networking and video game company in the world), etc, etc, etc
The economic system of China is simply far superior to the one India uses:But more importantly you need a highly intelligent and capable government that has a vision to lead their country into the future, in other words you need either a strong man at the centre or a Meritocracy.People go on and on about the greatness of Democracy but don’t realise that it is simply a gamble, a gamble of luck, America under FDR had won that gamble and American growth rates were most likely the fastest of any major economy.In the end FDR lost, America lost and that is the danger that every Democracy faces and that too is a danger India is currently facing.A true Meritocracy simply doesn’t have that problem because it is a system that weeds out all the unintelligent, incompetent and lazy people who try to get to the top through examinations, experience etc etc, such people like Trump would never get put into power in a true Meritocracy.This is why a fully Meritocratic system lasts for a very very long time, because they are run by people who know what they are doing, not people who get into power by taking advantage of people who despair and are in a desperate position.China is evolving into a true Meritocracy and that is why you see so much change on ground, people outside of China really struggle to understand this system because they have never truly experienced a Meritocratic system and the potential it holds.To put it simply is that China uses the best political and economic system out there while the systems India uses are to put it bluntly “inferior”, this is also why you don’t see the true potential of Indians being fully harnessed, you only see the few successes of the elite and delight and then say “progress”.If you look at history you would realise that Indians are a people of high potential but most Indians don’t realise the kind of miracle that would unfold if we used the right systems, you are looking at something potentially comparable to China.
This is a great question. As someone who love and admire India. I have always wanted to know why China devolped so much faster than India. What are the reasons? Is it because China is one party state and India is a Democracy? NO it does not seems to be the reason. There are many countries in the world who have a democratic system yet have devolped very fast. So what are the reasons?In my view Chinese intellectuals from very early on asked them self what is wrong With China? How can we make it better? What kind of political system suits China? How can China meet her potential and so on.These intellectuals organized themselves into a political party known as Communist party of China or simply CPC. These intellectuals had a vision of China’s development. Although not everything went into the plan as there was power struggles between these intellectuals and bad episodes like the Cultural revolution and so on. But the vision was always there from the very beginning.These people had creative ideas which would only work in China and they learned from the experiences of other countries. As they always said we should learn from other countries but not copy it. China learned so much from the old Soviet unx but never copy it.Ok now when it comes to India they never had such a group of intellectuals even if they had very few. The most famous of them being Jawaharlal Nehru, they were not creative enough. With all due respect to Mahatma Gandhi he was not a great intellectual. What i am trying to say is India never had a Group of intellectuals who could answer the questions like How can India industrialize fast? How can we develop a political system which suits India? In what ways India should be changed and so on. What India did was copy,copy and copy.In my view the most important thing for all countries irrespective of political system is meritocracy. I don’t care if a country is Democracy or authoritarian as long as it has meritocracy it is great. India is a Democracy but i reality for many decades it was run by a political dynasty. While North Korea is a one party system but in reality it is an absolute monarchy, where the country is the personal property of a family.All countries should go their own way when it comes to development and modernization. It seems like China knew this from very early on and took action while India didn''''t.
In my opinion, the answers here only touched the surface, none of them has even mentioned the fundamental reason yet.The fundamental reason for the fast growth of countries like Japan, Korea and China are all the same, which is industrialization, industrialization and industrialization!!! No matter what kind of government it is, the essential path for growth is to build up a highly complicated and collaborative industrial system. I will use agriculture as an example. To have an advanced modern agriculture, you will need chemical industry to produce fertilizer and pesticides, a industry to make equipments for the chemical industry, a metallurgical industry to supply metal to build equipments, a mining industry to supply energy and raw material, a bioengineering industry to develop high yield plant species, an irrigation system to store and use water, infrastructure for fast transportation of product, an information system to guide the production, a financial system to support the funding and trading, an education system to teach the knowledge needed for all these industries, and the list keep growing. It is a highly complicated system and takes multiple generations to build it up. It took UK and US hundreds of years to build up the system. Japan, Korea and China started much later. It is almost impossible to compete with developed world at the beginning stage without the help and protection from their governments. But once the system is set up, even if it is very primitive in compare with developed world, it will grow by itself at accelerated pace. A country as small as Korea may not need to have the full system as long as it can participate in a few sectors of the developed world. However, a country as big as China and India definitely need to develop a full system for their growth. Because the existing system in the developed world won’t be able to support such a big population.Most answers here attribute the fast growth of China to the economic reform in the 80s. The industrialization of China actually started from the 50s. A lot people may think uncompetitive industries are useless. Modern industrial society is a highly collaborative ecosystem. A local factory might have lower quality and higher price than its foreign competitors. But it might be a crucial part in the local ecosystem that foreign companies can hardly replace. Moreover, it helps to develop skilled workers and supply chain that will be crucial to evolve to next level. A country without the ecosystem can hardly have advanced technologies work out there. Is it possible to bypass industrialization to become rich? It might work out for small areas like Singapore. But I cannot image a country as big as India can bypass it. The growth model of India already showed its limitation. 10 years ago, the software industry in China was still talking about how to catch up with India in revenue. But now the revenue of software industry in China is multiple times that of India due to strong domestic demand. On the other hand, Indian software industry is still focusing on outsourcing service with limited profitability.
The sole reason behind China’s rapid development is Political stability and strong political will. Post 1970s groomed politicians of China took autocratic steps to revive the economy. They controlled their population by strictly implementing 1 child policy and focussed on Industrialisation. They opened SEZ (Special Economic Zone) and invited the industries throughout world to open their production base there and gave them many incentives like cheap electricity, water, land and supporting Labour Laws. They took advantage of Rising Gloabalisation and became home to many big MNCs. Their pro-industrial attitude brought them the fruits of success in rising economy. Once infrastructure and vendor companies were there, there was no choice left for other big MNCs to bypass china. Even biggest mobile company Apple have their prodction base in China.While in India, political will has not been never so strong and being a democracy, India finds it difficult to implement any strict policy. On one side our economy was weak, rising population made it weaker on other side. Though in one Five Year Plan at the time of Nehru, we tried to focus on “INDUSTRIALISATION” but rest of the time it was all about AGRICULTURE. India tried to distance itself from Globalisation till 1990 when Manmohan Singh, the then Finance Minister implemented LPG norms and opened Indian market to Global players. After that time, we started noticing rise in our economy till 2014. Post 2014 it has again been on decline side due to GST and Demonetisation.Though India has also tried many things like SEZ, but it has achieved partial results only till now. I hope GoI will take necessary steps to pitch up Industrialisation because this is the only sector which will bring mass employment along with it.I hope it would help you understand the rapid growth of China and slow growth of India.
There is no need to delve into endless tables and oppressive data. That is only a waste of time for the reader too. Data, metrics and data points only show what is happening but they can not readily show why and what brought in those. Look at the seed。The reason lies in another dimension. Over decades, China concentrated on two obxtives so far as development is concerned- developing internal industry and aligning its foreign relations to get markets for its produce.From a humble toy-maker of 1950s, it warmed up its way into seriously big & advanced engineering feats. The West, particularly the USA ate from the hands of China in their lust for ever-cheaper consumer goods. They established their plants in China and thence trained the Chinese with their own hands. They looked the other way when Chinese manufacturers flagrantly violated human rights, employed bonded labor, paid pittance in salary, cheated village laborers into patently dangerous industries. China never employed sophisticated technology when it could do with easily available manpower in abundance. Those voices of West didn’t mind when China polluted its air & water and also used manual labor in dangerous industries like chemicals.By the time the West realized it, China had become a power in itself.China, also implemented birth-control, spurred internal employment with massive civil works (like Hitler’s autobahns turning around the economy of the Third Reich) and instituted massive training programs for its workers. China sent its students to USA & West for education & training in advanced science & technology and these experts came back to China to drive the growth.Even today, Chinese projects abroad employ only Chinese workmen. China scouted the world for natural resources and got into contracts for developing those countries. Thus, China got the better of both ends.I guess, this is enough to make one appreciate why China could grow to a position from where it could challenge the USA itself - vision, goals, planning and determination.