COMPARISON OF THE ECONOMIES

Comparison of the Economies

Comparison of the Economies

In 2010, the economy of India is the 12th world with a GDP of almost $ 1200 billion (18% agriculture, 22% industry, 60% services). Its GDP accounts for 2% of global GDP, but that translates into income per capita of about $ 1,000. The human development index (HDI) ranks the country at 134th position (out of 182 countries) and a third of the population lives below the poverty line (75% of the population lives on less than $ 2 per day).Two thirds of the population lives in rural areas and agriculture occupies half of the workforce (52% agriculture, 14% industry, 34% services) (Arnott, 2006).

India is:

- 21st place in world merchandise exports, with 1.3% of world exports ($ 176 billion) manufacturing (66%), fuels and mining products (21%) and agriculture (10%).

- The 14th largest global importer of goods, with 2% of global imports ($ 287 billion) manufacturing (47%), fuels and mining products (38%) and agricultural products (6%).

India is the fourth largest producer of iron, the 8th largest steel producer and the third producer of coal and lignite. India became the world center of information technology. It is the leading seller of technology services information ahead of Ireland and the United States. It is the preferred destination for outsourcing due to labor very cheap and highly skilled. The IT sector employs over two million people. India contributes to form a "block of the South" within the WTO in alliance with the South, China, South Africa and Brazil to contain globalization. It is part of the SAARC South Asian Association for Regional Cooperation with Afghanistan, Bhutan, Bangladesh, Pakistan, Nepal, Sri Lanka and the Maldives. The thriving industry of information technology was born during the boom years of 1990. Based on a highly qualified middle class and the low labor costs (an Indian engineer would cost 15,000 dollars per year against 75 000 dollars for one American), she has made India one of the major players in the world new technologies (Brueckner, 2001).

This sector now employs over one million Indian and generates two million indirectly. Added to the massive relocation of call centers of large Western companies, the vast scope of this revolution in a country where the economy was faltering once becomes evident. The IT industry in India was estimated at 60 billion dollars in 2009. The boom in information technology has transformed cities like Hyderabad - often called by its inhabitants Cyberadad - and Bangalore - India's Silicon Valley - have become global market leaders. Tamil Nadu, Andhra Pradesh Karnataka and now produce more than half of Indian software for export, although the domination of the south is now threatened by the rise of new centers like Pune, Mumbai, Kolkata and Ahmadabad. This explosion of information technology has created a new class of Indian executives. These young professionals are often single people who do not have the thirty or just. They no longer invest their money as before - in the management of their homes ...