In This Review

China and India Learning From Each Other: Reforms and Policies for Sustained Growth
China and India Learning From Each Other: Reforms and Policies for Sustained Growth
By Jahangir Aziz, Steven Dunaway, Eswar Prasad
International Monetary Fund, 2006, 282 pp.
Dancing With Giants: China, India, and the Global Economy
Dancing With Giants: China, India, and the Global Economy
By L. Alan Winters, Shahid Yusuf
World Bank, 2007, 288 pp.

It has become fashionable to lump China and India together. Both countries have over a billion people, are growing rapidly, have a potentially large emerging middle class, and yet remain poor by global standards despite declines in poverty over the past decades. But there remain major differences between them. These two volumes present efforts by the two major international financial institutions to compare and contrast these important developing countries. The volume by the International Monetary Fund understandably concentrates on the financial system, although it touches on internal migration and the potential for trade between China and India as well. The World Bank volume is wider in scope, covering the entire economies and even governance, and looks forward to 2020 and beyond in terms of growth, trade, and energy use. The World Bank volume maintains a conscious parallelism between the two countries, but the numbers reveal important differences: China's economy is much larger, and its relative size likely to increase even more, at least over the next few decades. The volume is an excellent overview of these emerging economies.