Tony Addison and Miguel Niño-Zarazúa China and India are making
immense strides in development. Growth in both countries has
been impressive. But there is now much concern about whether
impressive growth rates are yielding enough poverty reduction.
The present debate about their poverty lines is a reflection of
this. In this second part of a two-part article (first part
featured in January’s Angle), we focus on more inclusive growth
in these two Asian giants. India and, especially, China have
enjoyed rapid economic growth, with a median growth rate of 6%
and 10% in the 1980-2010 period, respectively. This has
catapulted the impressive growth in per capita gross national
income (GNI) in the two countries: in 1980, the GNI per capita
based on purchasing power parity (PPP) was in the order of
US$430 in India and US$250 in China. By 2010, the two countries
had increased their per capita income up to US$3,560 and
US$7,570, respectively. The high growth rates in China are
largely explained by the high gross capital