According to Maddison’s estimates, per capita PPP GDP in India generally exceeded that in China until 1978. 4  BIS Review 77/2006  fiscal deficits, by the political inability to pursue the reform process with as much determination as has China, by an extensive bureaucracy, and by excessive state regulatory intervention in the economy.
Indeed, the greatest reason to be optimistic about India’s future growth process is that considering that it has grown so well in the last 15 years without a sustained deep reform process, it will certainly do much better if and when the reform process deepens.