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Thought of the Day
Indian GDP Growth Leaves Pakistan Far Behind
Rather as in the Cricket World Cup rivalry between the two countries
4 October 2024
Comparing the economic performance of India and Pakistan is not so easy, as neither country excels in the production of reliable GDP data.
Indian GDP data
is rated C grade by World Economics, which theoretically makes the numbers believable.
Pakistan
clearly lags with D Grade GDP data. However Indian data is classified as at the bottom of the C grated countries, and Pakistan not so far from the top of the D classification. So, in theory the difference in data utility may not be great.
Where, Pakistan lags badly is in the crucial
Governance field
. Poor Governance is frequently associated with Government interference with economic data (studies have shown that
economic data from countries ruled by Dictators
can be exaggerated by as much as 30%. Whilst not an out and out dictatorship, politics in Pakistan appear to be far from those of a tranquil democracy, and there seems no reason to suppose that data manipulation has been greater in India than in Pakistan. On balance it seems likely that Indian GDP data are more reliable than those produced in Pakistan.
Gross Domestic Product: India & Pakistan
GDP in Purchasing Power Parity Terms, Trillions, Int$
World Economics GDP data (in
Purchasing Power Parity
terms, and adjusted for out of date
GDP Base Years
, and the size of the
Informal economy
) suggests it is likely that GDP growth in India has far outstripped that seen in Pakistan over the last quarter century.
See more on India...
More perspectives using World Economics data
US Sales and Market Growth Indexes Stay Positive
Further signs of a setback in US Business Confidence are shown in the release of the September data from the Sales Managers Index. After a relatively buoyant series of index readings in the second quarter of 2024, July saw a significant trend reversal in Business Confidence, which continued into August, with a further sharp fall now registered by the September data. While the Sales and Market Growth...
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More data...
All Indian Growth-Related Indexes Stay Significantly Positive in September
Indian Sales Managers reported another month of significant economic growth in September. All growth related indexes are reflecting expansion across a wide variety of business sectors. The Business Confidence Index, reflecting the vital "animal spirits" factor in economic growth, indicates that continued significant expansion in economic activity is likely to continue throughout the fourth quarter of ...
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More data...
September Survey Results: Global Growth Declines. Warning Signs Multiply
World economic activity continues to grow when seen through the lens of the Sales Managers Indexes, in the world's three largest economies (China, the USA and India). For most recent decades these countries have collectively contributed close to 60% of total global growth, and in reality, probably significantly more, as the "rest of the world" in this case includes many countries with less reliable an...
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