If GDP growth was high relative per unit of GDP dedicated to investment, it meant high capital efficiency. In general, three countries show relatively low variability in the average annual real GDP growth in these three periods. Parenthetically, the real economic growth data for these seven emerging economies make the notion that the 21st century belongs to the East risible. Economic growth led by consumption spending facilitated by consumer debt is not the stuff of capital efficiency. All these become possible if one accepts that India’s economic growth data has come in the way of commencing a true recovery.

Source: Mint May 06, 2019 16:41 UTC