INDIA AND CHINA - CONTRASTS IN ECONOMIC LIBERALIZATION

It is argued that in both India and China despite some important differences: (a) similar cultural and political imperatives led to similar systems of dirigisme and economic outcomes - with the Chinese growth higher than the Indian because of higher investment; (b) crises engendered by their dirigiste regimes impelled reform; (c) their attempts to replace the plan by the market have striking similarities but (d) ultimately because of continuing atavistic attitudes to toward trade and commerce the reforms remain insecure.