Recently World Inequality Report 2018 has been released. This report also estimates the economic progress of India. It has been reported in the report that 22 percent of the people in the world take up most of the income If India is compared to China, then we see that China has made 800 percent progress in comparison to 200 percent of India’s economic growth since 1980. But there is not much economic inequality in China compared to India. China accounts for 14 percent of the people earning the majority of income, while 22 percent in India. In general, it is believed that inequality increases even with the growth of economic growth. But in the context of China, it has been reversed.
China and India are both agro-dependent societies. The political systems of both have been quite different. In 1950 the per capita income of both countries was almost identical. In fact, due to democracy only in a country, there is no lack of speed and inequality in the economic progress of that country. A poor country with a densely populated country needs far-sighted public interest and stable administration to continue progress on the path of progress. We also get an example of this in South and North Korea. Looking at China and India, surely China has done better than India on many important aspects.
China correctly understood the importance of its human capital and expanded its configuration.
To enhance the capability of human capital, he strengthened his education and health. Even today in India, up to the secondary level, only 15 percent of the people of the school level are educated. China achieved the level of education in the 1970s, which India could achieve in the 21st Century.
On the strength of education and health, China started delivering its products to a large extent around the world. Even though the quality of Chinese products is not good, but their buffer occupy the markets of many countries. The cheap rate was also one of the reasons.
In this configuration of human capital naturally, women’s participation is also very noble.
The progress of China was part of the progress made in East Asian countries. This is no exception. The only difference is that China is more authoritarian than other countries. Due to Communist rule, civil rights cannot be protected in the same way as India has done. Human development is possible only through rights.
Therefore, even in India, per capita income has been reduced, poverty continues to be continuous and due to this the inequality of income has remained, but there are many states in India, whose human development side is better than China.
In India, it is the ability to overcome the inequality in the society as well as giving a rightful life to the citizens.
India has to improve the education and health sector.Government policy to be a supporter of the poor has prevented the spread of human capital in the country. Therefore, to overcome the growing inequality, the government will have to make a policy change.Public policy should be crafted in such a way that the government can promote private enterprise more and more in keeping with the interest of the society.