The difference 1% makes (in an economic forecast)

Today, forecasters increased their growth forecast for India to 7.5%. The forecast was, a few months ago, only 6% and had been raised to 7%. That’s a big increase.

The forecast from the IMF from 2014, ranging forward 60 years, tops out India’s growth rate around 6% – never exceeding that number and running well for a long, long time before descending.

Compare to China, where the forecasts have them sinking to 1.5% annual growth by 2060. They look like Western Europe by then. But they have India up around 3%.

So what if they were off by 1.5% for 2015-2035 (not just the one year)? What if they lowballed the max?

It makes a big difference:

Read it here http://beta.knotable.com/p/sucPVk/

In short, it means India ends this century as a bigger economy than China.