This presentation on 'Rising India' is a public lecture given at the National Chencgchi University, Taipai, Taiwan on 9 June 2015. It touched upon four aspects. (1) Make in India: a call to business. (2) Comparing with China: miles to go. (3) Distributional issues: people are ends. And, (4) Lessons from Taiwan: small is beautiful!

1. Rising India:
Some Concerns on Growth and Equity
Srijit Mishra
Public Lecture
National Chengchi University
2015 June 09

2. Broad themes
• Make in India: a call to business
• Comparing with China: miles to go
• Distribution issues: people are ends
• Lessons from Taiwan: small is
beautiful
2015 June 9 2Srijit Mishra, Public Lecture, NCCU; CC BY-SA

3. Source: Janta Ka Reporter
2015 June 9 3Srijit Mishra, Public Lecture, NCCU; CC BY-SA

4. Come, make in India
• Facilitate investment
• Foster innovation
• Enhance skill development
• Protect intellectual property
• Build best-in-class manufacturing
infrastructure
• Single window (ease of making business)
• Economic federalism
2015 June 9 4Srijit Mishra, Public Lecture, NCCU; CC BY-SA

5. Business Corridors
• Delhi-Mumbai Industrial
Corridor (DMIC), 2006
– Six states
– 24 cities
• Plans for
– Bengaluru-Mumbai
– Chennai-Bengaluru
– East Coast
– Amritsar-Kolkata
Source: Wikipedia
2015 June 9 5Srijit Mishra, Public Lecture, NCCU; CC BY-SA

6. Demographic Dividend
India China
Market - 1.3 billion, 1.4 billion
Working Population - 54+% 60+%
2015 June 9 6Srijit Mishra, Public Lecture, NCCU; CC BY-SA

7. Three D’s
• Democracy
• Demand
• Demography
• Mandate
of the people
• Fulfil wants
for the people
• Produced
by the people
2015 June 9 7Srijit Mishra, Public Lecture, NCCU; CC BY-SA

8. Comparing with China
Source: Indian Express
2015 June 9 8Srijit Mishra, Public Lecture, NCCU; CC BY-SA

9. GDP Growth Rates (%): India and China
Source: World Development Indicators (WDI), World Bank
-4
-2
0
2
4
6
8
10
12
14
16
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
India China World
2015 June 9 9Srijit Mishra, Public Lecture, NCCU; CC BY-SA

10. India Indicators (2013) China
1.25 Population (billion) 1.36
1.88 GDP, current (USD trillion) 9.24
6.90 GDP growth, (%) 7.67
1498 GDP per capita, (USD) 6807
0.47 Exports (USD trillion) 2.43
71 Mobile (per 100 people) 89
684 Electricity (KWh per capita, 2011) 3298
28 FDI (USD billion) 348
70 Remittances (USD billion) 39
Source: WDI
2015 June 9 10Srijit Mishra, Public Lecture, NCCU; CC BY-SA

11. India Indicators (2013) China
66 Life Expectancy at birth (years) 75
53 Child Mortality (per 1000 births) 13
52 Dependency ratio (%, working age) 37
63 Adult literacy (%, 15+) – 2006/2010 95
140 Ease of doing business index (1=best) 93
32 Urbanisation (% of population) 53
0.8 R&D expenditure (% of GDP) 2.0
160 Researchers in R&D (per million pop) 1020
15.1 Internet users (per 100 people) 45.8
2015 June 9 11Srijit Mishra, Public Lecture, NCCU; CC BY-SA
Source: WDI

12. Invoking Buddha
Source: Indian Express
2015 June 9 12Srijit Mishra, Public Lecture, NCCU; CC BY-SA

13. A detour: Southern Song Period
• Buddhism
• Daoism/Taoism
• Confucianism
• Mind/Spiritual
• Body/Physical
• Socio-political
• Economic
2015 June 9 13Srijit Mishra, Public Lecture, NCCU; CC BY-SA

14. “… a Gujarati, money is in my blood…”
Source: WSJ
2015 June 9 14Srijit Mishra, Public Lecture, NCCU; CC BY-SA

15. Live, and let live…
• We will work on the border differences, but
that should not come in the way of
commerce.
• Inciting Chinese business, including Alibaba
among others to look at India as an
alternative avenue.
• Increasing costs, currency appreciation, and
changing skill levels/demography in China
means that India can complement and
supplement their manufacturing efforts.
2015 June 9 15Srijit Mishra, Public Lecture, NCCU; CC BY-SA

16. Fiscal Federalism in India
• The Prime Minister of India was
accompanied by businessmen and two
Chief Ministers in his May 2015 visit to
China.
• Sister-states (Karnataka-Sichuan; and
sister-cities (Aurangabad-Dunhuang,
Chennai-Chongqing, and Hyderabad-
Qingdao). And also Vibrant Gujarat.
• It is all about money, honey.
2015 June 9 16Srijit Mishra, Public Lecture, NCCU; CC BY-SA

17. The Powerful Selfie!
Source: Twitter
2015 June 9 17Srijit Mishra, Public Lecture, NCCU; CC BY-SA

18. Distributional Issues
Source: GOP Stoppers, Liberal Planet
2015 June 9 18Srijit Mishra, Public Lecture, NCCU; CC BY-SA

19. Some Contentious Issues
• Land Acquisition Act. How does one
balance it with agriculture and
livelihood issues of farmers/workers?
• Labour laws – hire and fire at ease. Will
it compromise with workers’ rights?
• Intellectual Property Rights. Does it help
innovation or facilitate rent seeking?
2015 June 9 19Srijit Mishra, Public Lecture, NCCU; CC BY-SA

20. Other Concerns
• Social Sector: Low & declining expenditure
– Health (4/5th out-of-pocket expenditure, WDI)
– Education (expdn % of GDP, 3.8%, 2012, WDI)
– Undernourished (195 million Indians, FAO)
– Pollution (13/20 most polluted cities, WHO/link)
• Crisis in Indian Agriculture
– Farmers’ suicides (one every 30 minutes)
• Effect long-term demand and labour skills
2015 June 9 20Srijit Mishra, Public Lecture, NCCU; CC BY-SA

21. Lessons from Taiwan
Source: Dragon and Tiger Pagoda, Kaohsiung, Wikipedia
2015 June 9 21Srijit Mishra, Public Lecture, NCCU; CC BY-SA

22. People matter
• Public institutions are for people
– Schools/Universities, Libraries
– Hospitals, Parks
• Honesty, trust, and dignity
– Respect each and every individual (migrant care
providers)
• The case for small and medium
– Encouraging individual enterprise
– Creating chain of linkages
– Addresses efficiency and equity concerns
2015 June 9 22Srijit Mishra, Public Lecture, NCCU; CC BY-SA

23. To Sum up
• Demographic dividend
• Also an urge/hunger among people
• Commerce/business first; political
differences between China and India are
being worked out.
• Distributional concerns are important. After
all, people are ends and not means.
• Small is beautiful!
2015 June 9 23Srijit Mishra, Public Lecture, NCCU; CC BY-SA