Posted by: Captain Haddock May 9, 2007
India : Economic Explosion?
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Oh sure you should not run after one set of numbers. But this is not the only study out there that depicts a trend. There are a couple of others that corroborate the same trend - although they may differ on the rate and timing At the end of the day, these are just forecasts. As with any form of financial and economic modeling, they could all change if the underlying assumptions change. The numbers that interest me most are those related to the GDP composition - specifically the currently discrepancy between employment and production - and the potential this holds for increased economic opportunities. 30% of the people producing 60% of the output and 60% of the people producing 20% of the output. That is bound to undergo a correction if the current trends continue. Yes, needless to say, I would hope any one in their right minds making a decision about India would look at just more than this survey. The composite picture painted by this and many of the leading economic indicators show an economy undergoing a correction. Which at this point, based on all indicators, looks like an upward correction. Growth and wealth disparities exists but their impact on the current economic trends can be debated and will probably not be known for a while to come. Just my thoughts. Some good information (and not-so-good too :D) out there in the posts :)
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