The readers should note that the scope of this essay is the internal determinants of the relatively different speeds of reforms, rather than the policy analysis.The essay is presented in three parts. The purpose of this essay is to deliver supporting arguments for such hypothesis by analyzing the stylized facts. This argument is supported by some stylized facts related to the explanation for a country's attractiveness for foreign capital.The main idea of this essay is that China's relative success over India is a result of its unique characteristics. ![]() One popular argument says that the answer lies on China's success on attracting foreign capital. While one has experienced an impressive economic growth performance, the other seemed to take a slower path. Comparing the economic development in China and India has been interesting.
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