China is often paired with India in discussions of global economic superpowers,but there is no comparison between them at all. India’s GDP is less than half that of China’s, and trade accounts for less than half as much of its overall economy.The annual growth in China’s trade exceeds the total level of India’s trade. China attracts more foreign direct investment each year than India has received in the 60 years since its independence. India is now developing dramatically and could start growing faster than China and is the most likely candidate to become the fourth global economic superpower in a decade or so, but China will totally dominate its Asian neighbor on all three of the key criteria for the foreseeable future.Japan is the only other possible contender for global economic superpower sta-
tus. There were indeed periods, in the 1980s and even into the early 1990s, when Japan appeared to be playing such a role. When the yen reached its peak in 1995, at about 80:1 against the dollar, Japan’s total GDP was fully 80 percent that of the United States (despite a population that was less than half as large). The country’s competitive prowess led to widespread perceptions of “Japan as Number One.” But its trade and other economic transactions with the rest of the world remained
relatively limited as a share of its economy, its financial markets never liberalized sufficiently to enable the yen to play an important international role, its economy collapsed for the entire decade of the 1990s, and its population is now declining. Japan has already lost to China its regional dominance and with it any pretensionsto global leadership. Japan missed its moment.So at this juction China is the economic superpower who will dominate the Asian region and will have a dominating influence in its regional partner in the near future. Only the country having strong economic power with a thriving economy can challenge the China but still the road is too long to go .
Pic Source: World Development Indicator( World Bank)
relatively limited as a share of its economy, its financial markets never liberalized sufficiently to enable the yen to play an important international role, its economy collapsed for the entire decade of the 1990s, and its population is now declining. Japan has already lost to China its regional dominance and with it any pretensionsto global leadership. Japan missed its moment.So at this juction China is the economic superpower who will dominate the Asian region and will have a dominating influence in its regional partner in the near future. Only the country having strong economic power with a thriving economy can challenge the China but still the road is too long to go .
Pic Source: World Development Indicator( World Bank)
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