India’s place in History of the World Economy since 1500

by Dave

Good visualization (courtesy: Visualizing Economics) that shows that India is a re-emerging market. According to economic historian Angus Maddison, (see Historical statistics at this link) India was the world’s biggest economy from 0 A.D. to the 15th century and second biggest through the start of the 19th century.

Encounters with colonialism (starting with the battle of plassey 1757) and then embrace of Fabian socialism/statism (starting in 1947 thru the early 1980s) sent the Indian economy into a downward spiral for nearly 250 years. Policies that put wealth transfer and wealth redistribution before wealth creation resulted in the impoverishment of millions.

World GDP over the last 500 years

History of World GDP - last 500 years