poverty

It’s a no-brainer that India is currently in the midst of a large economic boom. However, not very long ago She was suffering. The South Asian economy had been a center of economic activity since ancient times. When European companies arrived on the scene in the 17th and 18th century they attempted to insert themselves into a booming textile and spice trade. South Asian port cities exported spices, foods, and textiles to Asia and the West, some even say that in the mid 18th century 1/4 of all the worlds textiles were provided by South Asia.
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Here is a very interesting article busting misconceptions about Indian economic inequality…

Income Inequality In India: Growth, Health And Development

Filed under: Growth, Health — Dweep @ 10:58 pm

Economists frequently cite economic growth as the surest way out of poverty for the developing world. In this context, China is an often mentioned example, where double digit growth has brought over 300 million people out of extreme poverty over the past few decades. But closely tied to growth is the question of equality - of growing the pie, as opposed to distributing it.

In discussions of equality, India usually does better in comparison to China. Proponents of India’s path to development often point out that income inequality in India has historically been relatively low. The UN Human Development Report 2006 estimated the Gini Index - an indicator of income inequality - for India to be 32.5 in 2000. This compares favorably with much of the world, including the USA and OECD countries (Sweden: 25; Norway: 25.8; USA: 40.8; China: 44.7; Brazil: 58 - low numbers are better).

Yes, India’s income distribution is relatively equal. But inequality is rising - fast.

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