Trump embraces Xi, Modi in the cold

The embrace between Mr Trump and Mr Xi has left India in the cold, along with Japan, Australia and Taiwan. India is practically friendless in South Asia. West Asian countries are forging new arrangements among themselves and with Israel, without India. It is time to acquire some humility and go back to the policy drawing board

- P Chidambaram

THE MOST CONSEQUENTIAL leaders of the world today are Mr Donald Trump and Mr Xi Jinping.Others are MrVladimir Putin and Mr Benjamin Netanyahu. For good or bad, their words and actions have an impact beyond the borders of the countries of which they are Heads of Government/ State. Mr Narendra Modi would like to be among them — his party claims that he is already one of them — but the reality is different.

Economic realities

India’s economy is puny (in terms of size) compared to America’s or China’s. In comparison with Russia and Israel, in terms of per capita income, India’s is tiny. Here is the data (see table):

America’s economy is 7 times larger and China’is 4.5 times larger than India’s. India may be the fastest growing large economy but even doubling the GDP will take 10 years from now.In the meanwhile, even at a smaller growth rate (but on a larger base), the GDP of US and of China would become bigger and the absolute gap in GDPbetween India and US and between India and China may grow wider. Russia and Israel may have a smaller GDP but they are richer and their per capita income is 6 times and 18 times, respectively, greater than India’s. The math is known to every leader of the world, except India’s current rulers!

The G-2 surprise