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by pm90
4348 days ago
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A country does not develop simply because it has a lot of people. It develops when those people acquire skills and contribute to the economy. India and China have almost similar populations now, but look at China's GDP and India's GDP [0]. Why the massive difference? Of course there are many many reasons for it, but China has succeeded in eliminating illiteracy, hunger etc of its people and trained a large number of engineers and is using them. [0]: https://www.google.com/publicdata/explore?ds=d5bncppjof8f9_&... |
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It had tremendous untapped natural resources, a wealth of coal and oil (it was the worlds leading exporter of oil until the late 1940s), and the social structures to allow mobilization of those resources.
Population isn't enough, and can be a curse. Europe saw a tremendous economic boom following the Black Death, largely because financial and real capital was concentrated in fewer hands, and populations were reduced below carrying capacity.
Education isn't enough. Drop a highly educated individual into the heart of Africa or slums of India, and they may do well compared to the locals, but it'll be a small fraction of what they'd be able to accomplish in the US or Europe, or by being wealthy and in India.
The role of resources, particularly agriculture and energy, in economic growth, are highly discounted by contemporary economists.
Hell, you can even get an expert on poverty and a Nobel prize winner on stage saying with an absolutely straight face that economists cannot explain growth:
http://www.reddit.com/r/dredmorbius/comments/1wf57z/econ_pau...