The new path for economic development that India must create The whole world has a stake in Indiaâs future, and that future hinges on whether India can develop its economy and deliver for its populationânow the worldâs largestâwhile staying democratic. Indiaâs economy has overtaken the United Kingdomâs to become the fifth-largest in the world, but it is still only one-fifth the size of Chinaâs, and Indiaâs economic growth is too slow to provide jobs for millions of its ambitious youth. Blocking Indiaâs current path are intense global competition in low-skilled manufacturing, increasing protectionism and automation, and the countryâs majoritarian streak in politics. In Breaking the Mold, Raghuram Rajan and Rohit Lamba show why and how India needs to blaze a new path if itâs to succeed. India diverged long ago from the standard development model, the one followed by Chinaâfrom agriculture to low-skilled manufacturing, then high-skilled manufacturing and, finally, servicesâby leapfrogging intermediate steps. India must not turn back now. Rajan and Lamba explain how India can accelerate growth by prioritizing human capital, expanding opportunities in high-skilled services, encouraging entrepreneurship, and strengthening rather than weakening its democratic traditions. It can chart a path based on ideas and creativity even at its early stage of development. Filled with vivid examples and written with incisive candor, Breaking the Mold shows how India can break free of the stumbling blocks of the past and embrace the enormous possibilities of the future.
nl
en