Whence the rise of India?

Got asked whats this rise of India that I keep alluding to every now and then.

Well, think of it this way. Suppose you're an investor with a pot of money to invest. Now generalize yourself to the entire global investor class and the pool of investible capital.

Now there's competition for that pot of money, naturally.

There's one group of countries, erstwhile G7, rich nations which are the most vocal and confident looking. A deeper look shatters this myth though. This group is a low-growth, high-cost, high-debt bunch with a demographic deficit that worsens by the year. They are still relatively wealthy but their wealth may well have peaked and could now well be on the wane. They control the big media, the big PR and big research dollars, the big awards etc and by and large they ensure their POV and their interests are kept up foremost.

Pls note, all this is conjecture right now, lets say. The truth may soon be revealed, in the next few yrs perhaps, ki kaun kitne pani mein hain.

The rest of the world's countries are a diverse bunch. One group here is a bunch of basketcases - with poor socioeconomic indicators on almost all major parameters (subsaharan Africa, Rwanda etc). Another group here is so completely lawless and orderless that no investment is either feasible or desirable. Somalia and Pakistan come to mind. Then there's a third group of countries that have order but little by way of law. These are dictatorships or plutocracies where the law of the land does not rise enough to rule over the ruling elites. Any country where the government cannot be sued in theoretical or practical terms would fit this bill. Some miracle economies in Asia could fit this bill.

Then there's a small group of countries which are not western democracies but democracies and which have both the rule of law and the application of order enough to control anarchy/chaos and actually make investment possible and profitable. India and Brazil dominate this bracket, IMO. These are high-growth, low-cost, relatively young and vibrant economies who are on the rise. As time goes by, they should attract ever more of the global pool of investible capital as their competition finds reality catching up with them.

Well that's the story, in a nutshell. That's the reason why i am so hopeful about the fate, fortunes and future of our country.