The Economist: India China export growth rates

[bandit]

Firstly, source?

Its your favorite source, wiki

Secondly, according to your link... China's exports in 2010 (1.6 trillion) were bigger than India's ENTIRE GDP for the same year.

Our "cheap and low quality" products are worth more than India's entire economy.

QWere we discussing the size of the ecnonomy or trade deficit as it relates to exports?
If you don't have a nanswer you could just admit your ignorance and waste less time running around.

Your trade balance is negative, which means your imports cost more than your exports brought in. That negative trade balance builds up every year.

Thanks for the one line expalanation. But that is not the issue at hand.

You contended that India wasnt a big exporting nation because of trade deficits. If you can support that please do or keep your garbage with ou, no need to litter here.

 

[KALKI]

Please answer the rest of my post:

The answer to your post lay here:

Current Account Deficit Definition

Read carefully.

 

[53fd]

The answer to your post lay here:

Current Account Deficit Definition

Read carefully.

I was asking specifically in terms of India's export situation. Clearly you have no understanding as to in what situations having a CAD might be helpful, or how having CAD may improve local productivity.

 

[KALKI]

I was asking specifically in terms of India's export situation. Clearly you have no understanding as to in what situations having a CAD might be helpful, or how having CAD can improve local productivity.

lol ok. Make yourself happy.

I'm not willing to ruin a perfectly idyllic sunday morning on educating you.

 

[IndoCarib]

A deficit between exports and imports (goods and services combined) - otherwise known as a balance of trade deficit (more imports than exports) - could mean that the country is importing more in order to increase its productivity and eventually churn out more exports. This in turn could ultimately finance and alleviate the deficit.

A deficit could also stem from a rise in investments from abroad and increased obligations by the local economy to pay investment income (a debit under income in the current account). Investments from abroad usually have a positive effect on the local economy because, if used wisely, they provide for increased market value and production for that economy in the future. This can allow the local economy eventually to increase exports and, again, reverse its deficit.




Read more: Understanding The Current Account In The Balance Of Payments

Both these principles applies very much to India. Atleast the investment from abroad part applies perfectly

 

[53fd]

A deficit between exports and imports (goods and services combined) - otherwise known as a balance of trade deficit (more imports than exports) - could mean that the country is importing more in order to increase its productivity and eventually churn out more exports. This in turn could ultimately finance and alleviate the deficit.

I know all this, but I was asking specifically in terms of India. Do you know what they export the most? From my understanding, India's business process outsourcing & IT contribute more than 25% of India's total exports. India's high CAD deficit results from two factors: a) from their growing oil import bill, b) more than 60% of their exports (which fell considerably) go to the US & the members countries of the EU, hardest hit by the global recession. India's high CAD has little to do with an aim to increase productivity in the country, they were just by the circumstances.

 

[KALKI]

I know all this, but I was asking specifically in terms of India. Do you know what they export the most? From my understanding, India's business process outsourcing & IT contribute more than 25% of India's total exports. India's high CAD deficit results from two factors: a) from their growing oil import bill, b) more than 60% of their exports (which fell considerably) go to the US & the members countries of the EU, hardest hit by the global recession. India's high CAD has little to do with an aim to increase productivity in the country, they were just by the circumstances.

This is what happens when one uses things that are meant for the brain, for toilet.

First, India no longer only sells simple things such as jewels. A decade ago engineering and petrochemicals were 14% of goods exports; now they are 42%, says Rohini Malkani of Citigroup. Second, the share of goods exported to slothful America and Europe has dropped from a half to a third. India is selling more complex products to a wider and perkier group of trade partners. Small firms are doing a lot of the work, says T.C.A. Ranganathan of Export-Import Bank of India.​

India

1. Oil price is a universal factor. Same for both India and China.

2. Please read The Economist instead of using it for toilet paper.

'A third' means 33.33% and not 60%.​

 

[Chinese-Dragon]

You contended that India wasnt a big exporting nation because of trade deficits. If you can support that please do or keep your garbage with ou, no need to litter here.

True, if you look at exports in isolation. The USA has a big export sector as well, more than twice the size of the Indian one, but everyone knows they are a trade deficit nation.

The important thing is the balance of trade. But in order to appeal to your semantics, I will edit my first post.

Again, when great powers are on the rise, they are almost always trade suplus nations. Britain and the USA were, they only started gaining large trade deficits when they entered a phase of relative decline.

India is not yet even a great power yet they already have a trade deficit.

 

[KALKI]

True, if you look at exports in isolation. The USA has a big export sector as well, more than twice the size of the Indian one, but everyone knows they are a trade deficit nation.

The important thing is the balance of trade. But in order to appeal to your semantics, I will edit my first post.

Again, when great powers are on the rise, they are almost always trade suplus nations. Britain and the USA were, they only started gaining large trade deficits when they entered a phase of relative decline.

India is not yet even a great power yet they have a trade deficit.

Wrong examples.

UK became a superpower when there was no OPEC etc. to decide the price of oil.

Think about it.

Most of their imports were from countries whom they ruled as colonies.

They used to get dirt cheap cotton and spices from India. Same for their other imports.

Similar for the US.

The US also rose to great power status when the cost of most of its imports was within its control.

The world economy has started seeing this drastic change only for the past 20-30 years.

When you can control the price of everything you import, the entire game changes.

 

[ramu]

I know all this, but I was asking specifically in terms of India. Do you know what they export the most? From my understanding, India's business process outsourcing & IT contribute more than 25% of India's total exports. India's high CAD deficit results from two factors: a) from their growing oil import bill, b) more than 60% of their exports (which fell considerably) go to the US & the members countries of the EU, hardest hit by the global recession. India's high CAD has little to do with an aim to increase productivity in the country, they were just by the circumstances.

You start with I know all this and then say that 60% of Indian exports are US oriented. LoL

 

[Chinese-Dragon]

The US also rose to great power status when the cost of most of its imports was within its control.

Can you explain that sentence?

According to the Financial Times, America was the largest manufacturer in the world for the past 110 years, during the time when they rose to become a great power, and then a superpower.

China has become the world’s top manufacturing country by output, returning the country to the position it occupied in the early 19th century and ending the US’s 110-year run as the largest goods producer.

Financial Times - China noses ahead as top goods producer

 

[KALKI]

You start with I know all this and then say that 60% of Indian exports are US oriented. LoL

My dear, that's what happens when you use things that are meant for the brain, as toilet paper.

let us bow down to the Mr. know-it-all, Bilal Hairder.

[/COLOR]

Can you explain that sentence?

According to the Financial Times, America was the largest manufacturer in the world for the past 110 years, during the time when they rose to become a superpower.



Financial Times - China noses ahead as top goods producer

Even my tiny corner mom-and-pop store will become the Walmart of the world if I'm assured of limitless supply of cheap raw material from my colonies.

Do you get the point?


Let me simplify it for you. Google 'Imperialism'.

 

[Chinese-Dragon]

Even my tiny corner mom-and-pop store will become the Walmart of the world if I'm assured of limitless supply of cheap raw material from my colonies.

Do you get the point?

You know we're talking about the USA right? So what colonies are you talking about?

 

[KALKI]

You know we're talking about the USA right? So what colonies are you talking about?

United States territorial acquisitions - Wikipedia, the free encyclopedia

There are many factors at play here.

1. US also benefitted a lot from British colonies.

2. US had colonies of its own. Though not as many as the British had.

3. US has always been primarily a war economy.

 

[kanpur]

List of sovereign states by current account balance - Wikipedia, the free encyclopedia

If you want to become a trade surplus nation like China/Germany/Japan, you first have to sort out that trade deficit problem you have.

Why buy things from overseas that you can make yourself? Keep the jobs back home.

the major reason for the trade deficit is due to oil import.