China has built far more housing and infrastructure than needed and far more factories than needed for her own consumption. China has overworked her people & as a result has destroyed her demographics.
India needs more factories, housing & infrastructure but needs balance. India must aim for balance between imports and exports and there is no sense trying to become the “factory for the world” like China. We also must spend time nurturing our families, our cultural and civilizational roots. Development does not have to mean losing ourselves. 🙏
“The household share of income in China is among the lowest ever recorded … a disproportionately high share of China’s production, rather than being directed to the well-being of Chinese households, is being directed into non-productive government projects and trade surpluses.”
India is at the receiving end of the excess production in China that Chinese households are structurally unable to consume. We run up large trade deficits and build up debt with China. It is key to understand the structural distortion within China that causes this.
Since it is very hard for China to fix its own structural distortion that results in its excess reliance on exports, India must have active trade and industrial policy to counter it. The “free market” will not fix this. The “free market” will burden India with more debt.