
Were it not for two things, India8217;s economic performance would seem remarkable. Since beginning to dismantle the 8220;licence raj8221; and open up to the global economy in 1991, the country has achieved average annual economic growth of about 6 per cent. The proportion of people living below the poverty line, one-half in 1978, fell to one-quarter by 2000. Since 1991, average GDP per head, adjusted for purchasing power, has doubled. India, its finance minister, Palaniappan Chidambaram, felt able to boast in his budget speech on February 28th, 8220;is not a poor country.8221; 8220;Yet,8221; he went on, 8220;a significant proportion of our people are poor.8221; That is one of the things thwarting self-congratulation: India8217;s poor number more than 260m and, nearly half of its children under four are underweight. The second thing is China8230;
But the main point is this: democracy is not valuable only or mainly because of the contribution it may make to development. It is a great good in its own right. A proudly democratic India that grows at 6 per cent a year 8 per cent, which is entirely achievable, would be even better should be congratulated for having succeeded better than a brutal anti-democratic China which grows at 10 per cent a year. There is more to life than GDP.
Excerpted from a leader in 8216;The Economist8217;, March 5