India's Great Experiment

10 June 2006 - 7:00am

India's market-based approach to holds promise for long-term economic development but poor infrastructure could undermine economic growth.

"Mumbai's airport is emblematic of the country's crumbling infrastructure and its negative effect on the free flow of goods and services...With its high-rise cities, new airports, modern highways, and fantastic growth—exceeding 9 percent for the past three years—China sends a clear message to the world of progress and power. The country's singular focus on economic development has been shaped by top-down government control that extends into ownership of most major enterprises. By contrast, India touts its open society and 'messy,' yet functioning, market-based democracy as a more conducive environment for long-term development."

Source: Harvard Business School, June 5, 2006
Bookmark and Share
At a much larger economic scale, however, one mustn’t avoid calculating the tremendous and exceptional externalities of automobile dependency.