Transcript: India vs. China | May 31, 2016

Steve sits in the studio. He's slim, clean-shaven, in his fifties, with short curly brown hair. He's wearing a gray suit, white shirt, and dark gray tie.

A caption on screen reads "India versus China."

Steve says THE UNITED NATIONS
PREDICTS THAT AS SOON AS THE
YEAR 2022, INDIA WILL SURPASS
CHINA AS THE WORLD'S MOST
POPULOUS NATION.
BY SOME ACCOUNTS, INDIA HAS
ALREADY OVERTAKEN CHINA IN
ECONOMIC GROWTH.
TO EXPLORE WHAT THAT MEANS FOR
INDIA'S ECONOMIC FUTURE, ITS
RELATIONSHIP WITH CANADA, AND
ITS PLACE IN THE WORLD ECONOMY,
WE'RE JOINED BY:
PARTHA MOHANRAM, DIRECTOR OF THE
INDIA INNOVATION INSTITUTE AT
THE ROTMAN SCHOOL OF MANAGEMENT
AT UNIVERSITY OF TORONTO.

Partha is in his fifties, with short gray hair and a trimmed moustache. He's wearing glasses, a gray pinstripe suit, blue shirt and matching tie.

Steve continue PARTHA, IT'S GOOD TO HAVE YOU BACK HERE.
IT'S BEEN A FEW YEARS.

Partha says IT'S BEEN
FOUR YEARS.
AND IT'S WONDERFUL TO BE BACK.

Steve says BUT WHO'S COUNTING?

Partha says NOT ME.

Steve says NOT YOU. GOOD.
LET'S PUT FACTS UP ON INDIA
BEFORE WE START OUR CONVERSATION
WHICH WILL HELP BRING PEOPLE UP
TO SPEED ON WHERE WE'RE AT.

A slate appears on screen, with the title "India facts. C.I.A. World Factbook 2015."

Steve reads from the slate and says INDIA'S POPULATION, ONE AND A
QUARTER BILLION PEOPLE WITH A
GDP ALMOST THE SAME SIZE AS
CANADA'S, 2.18 TRILLION dollars.
THESE ARE FACTS FROM THE WORLD
FACT BOOK.
I WANT TO START THERE.
HOW ACCURATE DO YOU THINK THOSE
NUMBERS REALLY ARE?

A map shows the location of India and highlights the cities of Mumbai, Delhi and Kolkata.

The caption changes to "By the numbers."
Then, it changes again to "Partha Mohanram. University of Toronto."

Partha says I THINK
THOSE NUMBERS ARE REASONABLY
ACCURATE.
THESE AREN'T NUMBERS COMING FROM
GOVERNMENTS STATISTICIANS SO I
THINK THOSE NUMBERS WILL HAVE
SOME CREDIBILITY.
THE ONE THING THAT MUST BE
MENTIONED IS WHEN YOU'RE TALKING
ABOUT COUNTRIES LIKE INDIA, IT'S
PROBABLY MORE USEFUL TO LOOK AT
P.P. NUMBERS.
P.P. NUMBERS, INDIA IS BY ALL
ACCOUNTS THE THIRD BIGGEST
ECONOMY IN THE WORLD.
SO TRADITIONAL GDP NUMBERS
UNDERSTATE THE SIZE OF THE
ECONOMIES OF COUNTRIES LIKE
INDIA AND CHINA AND OTHERS,
RIGHT?
SO IF YOU LOOK AT PER CAPITA
NUMBERS, THE P.P.P. PER CAPITA
NUMBERS FOR INDIA ARE SOMETHING
LIKE 6,500 dollars PER YEAR PER CAPITA
AS OPPOSED TO UNDER 2,000 dollars IN
OTHER... I THINK THE NUMBERS ARE
REASONABLY ACCURATE.

Steve says WE GET VERY EXCITED
IN THIS COUNTRY IF OUR GROWTH
RATE HITS 2.5 percent OR EVEN 2 percent.
INDIA IS LOOKING AT GROWTH RATES
NORTH OF 7 percent.
AND OF COURSE ONE OF THE BIG
QUESTIONS IS: CAN THAT PERSIST?
WHAT DO YOU THINK?

Partha says FIRSTLY,
IT'S WELL-KNOWN THAT IF YOUR
BASE IS LOWER, AND CERTAINLY
INDIA'S BASE IS PRETTY LOW, YOU
HAVE MUCH MORE OPPORTUNITIES FOR
GROWTH, SO THOSE NUMBERS ARE
KIND OF NATURAL.
SO IT'S NATURAL TO EXPECT A
COUNTRY LIKE INDIA AND CHINA AND
SOME OF THE OTHER DEVELOPING
COUNTRIES TO GROW AT MUCH FASTER
RATES BECAUSE THERE'S SO MUCH
MORE TO GROW.
NOW, AS FAR AS WHETHER THAT'S
SUSTAINABLE, I THINK IT HAS TO
BE SUSTAINABLE BECAUSE A COUNTRY
LIKE INDIA, WHICH IS A YOUNG
COUNTRY GETTING YOUNGER, WHICH
IS ADDING MORE AND MORE PEOPLE
TO THE WORK FORCE ON AN ANNUAL
BASIS, NEEDS THE GROWTH.
IT NEEDS THE GROWTH WHERE IT CAN
CREATE EMPLOYMENT OPPORTUNITIES
FOR ALL THESE YOUNG PEOPLE WHO
ARE ENTERING THE WORK FORCE ON
AN ANNUAL BASIS.

Steve says WHEN YOU SAY IT
NEEDS IT, IT DOESN'T MEAN IT'S
GOING TO GET IT.

Partha says I AGREE.
SO I THINK A COMBINATION OF GOOD
ECONOMIC POLICIES AND TO SOME
EXTENT GOOD FORTUNE CAN
CERTAINLY HELP INDIA.
I'LL GIVE YOU AN EXAMPLE OF A
COUPLE OF THOSE.
SO, FOR EXAMPLE, INDIA IS ONE OF
THE FEW COUNTRIES... IN CANADA
WE HAVE THE PAIN OF LOW OIL
PRICES, WITH THE CANADIAN DOLLAR
DECLINING FROM ABOVE PARITY TO
AS LOW AS 69 CENTS AND ALL THE
ISSUES GOING ON IN ALBERTA AND
THE WESTERN PART OF THE COUNTRY.
INDIA IS A HUGE IMPORTER OF OIL.
AND INDIA HAS SEEN ITS OIL BILL
FALL DRASTICALLY.
IT'S ACTUALLY ALLOWED THE
GOVERNMENT, FOR EXAMPLE, TO CUT
SUBSIDIES ON PETROLEUM PRODUCTS
WITHOUT NECESSARILY PASSING ON
THE PAIN TO THE CUSTOMER.
SO IN SOME SENSE IT HAS ALLOWED
THEM TO MAKE A GOOD AND
POLITICALLY DIFFICULT DECISION,
WHICH IS GOING TO HELP THEM IN
THE FUTURE, RIGHT?
SO THAT'S AN EXAMPLE OF SORT OF
MACROECONOMIC LUCK FROM INDIA'S
PERSPECTIVE.
BUT THERE HAVE ALSO BEEN SOME
GOOD POLICIES TAKEN NOT JUST BY
THE CURRENT GOVERNMENT BUT BY A
SUCCESSION OF GOVERNMENTS.
INDIA RECENTLY PASSED A
BANKRUPTCY BILL.
SO ONE OF THE BIG ISSUES IN
INDIA IS THE LARGE PERCENTAGE OF
NON-PERFORMING LOANS AND THE
UNWILLINGNESS OF LET'S SAY
PEOPLE TO LEND MONEY SIMPLY
BECAUSE YOU DON'T KNOW IF YOU'RE
GOING TO GET THE MONEY BACK.
ONE OF THE REASONS THIS IS IS
BECAUSE INDIA HAS NOT HAD A
PROPER BANKRUPTCY LAW IN PLACE.
THE PASSING OF THE NEW
BANKRUPTCY LAW SHOULD ENCOURAGE
LENDING BUT SHOULD ENCOURAGE
INVESTMENT AND THEREFORE HELP
THE GROWTH BE MAINTAINED AT
THESE LEVELS.

Steve says LET'S TALK POVERTY, THOUGH.
INDIA'S POVERTY RATE HAS
DECLINED A LOT OVER THE LAST 25
YEARS, BUT EVEN IF IT IS, YOU
TELL ME, IS IT 15, 20 PERCENT OF
THE POPULATION, SOMETHING LIKE THAT?

Partha says THOSE ARE
NUMBERS I HAVE SEEN.

Steve says OKAY.
EVEN IF IT IT'S 15 TO 20 PERCENT
OF THE POPULATION, WE ARE
TALKING STILL 200 MILLION
PEOPLE, AS A CONSERVATIVE
ESTIMATE, STILL LIVING IN REAL
DIRE POVERTY.
I MEAN, THAT'S VERY SOBERING,
ISN'T IT?

Partha says IT IS.
BUT I WOULD ENCOURAGE ALL THE
VIEWERS OF TVO, WHEN YOU LOOK AT
A COUNTRY LIKE INDIA OR, FOR
INSTANCE, CHINA, RIGHT, TO HAVE
A LONG-TERM, WHAT I CALL A TIME
SERIES APPROACH AND NOT
CROSS-SECTIONAL APPROACH.
DON'T COMPARE THESE COUNTRIES
TOWARD THE U.S.A. AND CANADA
LOOK LIKE TODAY.
THINK ABOUT HISTORY.
THINK ABOUT WHAT THESE COUNTRIES
LOOKED LIKE IN THE LATE 19TH
CENTURY WITH ALL THE IMMIGRANTS
COMING IN AND THE TENEMENTS AND
SO ON AND SO FORTH.
FROM THAT YOU HAD TREMENDOUS
GROWTH WHICH LED TO PROSPERITY
AND TO WHAT THE COUNTRIES ARE
RIGHT NOW.
I THINK THE SAME IS PROBABLY
TRUE FOR INDIA.
THE SAME NUMBERS COULD BE 40 percent,
LESS THAN TWO DECADES AGO, LIKE
A HALVING OF THE POVERTY RATE,
RIGHT?
SO THERE'S TREMENDOUS WORK TO BE
DONE.
20 percent OF 1.2 BILLION IS A BIG
NUMBER, LIKE YOU POINTED OUT,
IT'S ALMOST THE SIZE OF THE
UNITED STATES, 8 TIMES THE SIZE
OF CANADA.
BUT THAT NUMBER IS DECLINING.
AND INCREASINGLY PEOPLE ARE
SEEING FORTUNE AT THE BOTTOM OF
THE PYRAMID AND THUS ARE
CREATING INVESTMENTS, SO YOU
HAVE THIS SORT OF
TRANSFORMATIONAL LEAPFROGGING
GOING ON IN INDIA WHERE THE
APPLICATION OF TECHNOLOGY BY
BOTH THE PUBLIC AND PRIVATE
SECTORS IS HELPING THE PEOPLE AT
THE BOTTOM OF THE PYRAMID IN
MANY WAYS.

Steve says IF IT TOOK TWO
DECADES TO CUT THE POVERTY RATE
IN HALF, AND THAT IS A
TREMENDOUS ACCOMPLISHMENT, LET'S
NOT PUT OUR NOSES UP AT THAT, DO
YOU THINK IT WILL TAKE ANOTHER
20 YEARS TO HALF THE POVERTY
RATE AGAIN?

Partha says IT WILL
PROBABLY TAKE MORE.
I DON'T THINK POVERTY WILL BE
ELIMINATED AND IT GETS MORE
DIFFICULT TO GET TO THE
UNDERLYING ROOTS OF POVERTY.
THERE ARE ISSUES IN INDIA.
SOME OF THEM ARE HISTORICAL AND
SO ON AND SO FORTH.
YOU CANNOT DENY THE TREMENDOUS
ACCOMPLISHMENTS THAT HAVE TAKEN
PLACE AND ARE CONTINUING TO TAKE
PLACE.
I'LL GIVE YOU A COUPLE OF
EXAMPLES.
FOR EXAMPLE, THE PREVIOUS
GOVERNMENT STARTED THIS VERY
AMBITIOUS PROJECT CALLED THE
OTHER PROJECT OR U.I.D. PROJECT.
YOU'VE SEEN INDIA, YOU'VE SEEN
THE POVERTY.
EVERY SINGLE PERSON SHOULD GET
AN I.D.
AND THEY STARTED THE PROJECT
LIKE 6 OR 7 YEARS AGO UNDER THE
PREVIOUS GOVERNMENT AND THE
CURRENT GOVERNMENT WAS UNDER
TREMENDOUS PRESSURE TO CANCEL
THE PROJECT SIMPLY BECAUSE IT
WAS A PROJECT OF THE PREVIOUS
GOVERNMENT.
THEY DECIDED NOT TO DO THAT AND
CONFUSED THE IMPLEMENTATION OF
THE PROJECT.
THIS PROJECT IS NOT WITHOUT
FLAWS.
THE FACT IS, AS OF APRIL OF THIS
YEAR, A BILLION INDIANS HAVE A
UNIQUE I.D.
WHAT THIS MEANS IS GOVERNMENTS
CAN WORK ON THINGS LIKE
TRANSFERS.
YOU KNOW, TRYING TO GET PEOPLE
BANK ACCOUNTS.
THINGS THAT, IN A SENSE,
E-GOVERNANCE, THINGS THAT CAN
REDUCE CORRUPTION.

Steve says THEY CAN PLAN.

Partha says THEY CAN PLAN.
THEY KNOW EXACTLY WHAT THE
PEOPLE ARE, WHAT THEIR NEEDS ARE
AND SO ON AND SO FORTH.
SO TO ANSWER YOUR ORIGINAL
QUESTION ABOUT, CAN POVERTY BE
ELIMINATED, THE ANSWER IS IT'S
GOING TO BE INCREDIBLY
DIFFICULT.
BUT WHEN YOU HAVE HIGH GROWTH
AND CERTAINLY THE BENEFITS ARE
GOING TO ACCRUE
DISPROPORTIONATELY TO THE
WEALTHY, BUT THERE'S ENOUGH IN
THAT GROWTH FOR EVERYONE TO BENEFIT.

Steve says LET ME ASK A
QUESTION THAT LOOKS AT THIS, AS
THEY SAY, FROM 35,000 FEET UP IN
THE AIR.
AT THE TURN OF THE CENTURY THERE
WAS A LOT OF TALK ABOUT HOW THE
BRIC COMPANIES, BRAZIL, RUSSIA,
INDIA, CHINA, WERE GOING TO TAKE
THE WORLD BY STORM.
THEY WERE GOING TO BE SHOWING US
ALL HOW TO DO IT.
NOT QUITE.
BRAZIL IS IN A POLITICAL MESS.
THEIR ECONOMY IS TANKING AS
WELL.
RUSSIA, I MEAN, YOU KNOW, WE
COULD GO ON FOR AN HOUR ABOUT
HOW BAD RUSSIA IS DOING RIGHT
NOW.
CHINA, NOT MUCH MORE POLITICAL
FREEDOM AND GROWTH RATES HAVE
SIGNIFICANTLY GONE DOWN.
AND THERE'S INDIA REALLY DOING
THE BEST OF ALL THE BRIC
COUNTRIES.
HOW COME?

Partha says STEVE, I'M
GOING TO GO BACK TO ONE OF MY
EARLIER APPEARANCES ON THE SHOW
4 YEARS AGO WHERE I USED TWO
WORDS, DEMOS, DEMOCRACY AND
DEMOGRAPHICS.
BOTH OF THEM WILL ALWAYS BE IN
INDIA'S FAVOUR.
YOU CAN TALK ABOUT, SHOULD WE
DEMOCRATIZE FIRST OR GROW FIRST,
AND INDIA HAS TAKEN THE GROW
FIRST MODEL.
THAT HAS LIMITATIONS.
YOU'VE SEEN THE PROBLEMS GOING
ON WITH WHAT'S HAPPENING IN HONG
KONG AND IT'S SPILLING OVER TO
PARTS OF CHINA AND STUFF.
BUT THE BIGGEST ADVANTAGE FOR
INDIA IS DEMOGRAPHICS.
I THINK IF I HAVE MY FACTS
CORRECT, THE AVERAGE INDIAN IS
24.
THE AVERAGE CHINESE PERSON IS
ALMOST 40.
AND THE AVERAGE INDIAN IS
GETTING YOUNGER.
THE AVERAGE CHINESE PERSON IS
GETTING OLDER.
THE SORT OF FLIPSIDE OF THE
ONE-CHILD POLICY IS CHINA HAS A
VERY SKEWED DEPENDENCY RATIO, AN
INVERTED PYRAMID, WHICH IS GOING
TO CAUSE PROBLEMS WITH GROWING
HEALTH CARE COSTS AND REDUCED
LABOUR PARTICIPATION AS TIME
GOES BY.

Steve says AND MANY MORE MEN
THAN WOMEN.

Partha says THAT'S THE
PROBLEM INDIA HAS AS WELL AND
THERE IS A WHOLE SHOW ON THAT.
HAVING SAID THAT, INDIA HAS A
YOUNG POPULATION, A GROWING
POPULATION, AND THAT HAS ITS
CHALLENGES AS WELL.
YOU NEED TO CREATE EMPLOYMENT
FOR ALL THESE PEOPLE ENTERING
THE WORK FORCE.
IN THAT SENSE THAT'S WHY INDIA
HAS TO GROW.

The caption changes to "Demographics."

Steve says THAT'S WHAT I WAS
GOING TO ASK YOU.
INDIA, I GATHER THE ESTIMATES
ARE, BY THE YEAR 2022 IS GOING
TO BE THE MOST POPULACE COUNTRY
IN THE WHOLE WORLD, GOING AHEAD
OF CHINA.
WHAT'S THE UPSIDE?
I CAN SEE THE DOWNSIDE, HAVING
TO CREATE JOBS FOR ALL THOSE
PEOPLE.
WHAT'S THE UPSIDE?

Partha says STEVE, FOR
ME, WHETHER INDIA IS 1.28 AND
CHINA IS 1.26 IS IRRELEVANT.
CAN INDIA SUSTAIN ITSELF AT ITS
CURRENT POPULATION LEVELS?
ONE THING ACROSS HISTORY WHICH
HAS TAKEN PLACE IS THAT IN
GENERAL MALTHUSIAN PREDICTIONS
ABOUT POPULATIONS HAVE NOT
WORKED OUT SIMPLY BECAUSE PEOPLE
HAVE NOT TAKEN INTO ACCOUNT THE
FACT THAT THERE ARE IMPROVEMENTS
IN TECHNOLOGY AND PRODUCTIVITY
AND SO ON AND SO FORTH.
INDIA, EVEN THOUGH ITS
POPULATION IS GROWING, ITS
GROWTH RATE IS DECLINING
SHARPLY, WITH INCREASES OF
LITERACY, WITH IMPROVEMENTS IN
FEMALE EMPOWERMENT AND SO ON AND
SO FORTH AND IT'S HAPPENING
THROUGHOUT THE COUNTRY,
INCLUDING THE SORT OF MOST
BACKWARD PART OF THE COUNTRY.
SO I THINK EVEN THOUGH INDIA'S
POPULATION IS INCREASING, IT'S
NOT INCREASING AT AN ALARMING
RATE, IT'S INCREASING AT A
DECLINING RATE.
CLEARLY THERE ARE PROBLEMS.
PRESSURES ON LAND.
INDIA, IF YOU LOOK AT A MAP,
INDIA IS THE 7TH LARGEST COUNTRY
IN THE WORLD BUT IT'S ONE THIRD
THE SIZE OF CHINA, CANADA, OR
THE U.S. IN TERMS OF GEOGRAPHY.
THE GOOD NEWS IS ALMOST ALL OF
INDIA IS ARABLE, UNLIKE SOME OF
THE OTHER COUNTRIES.
BUT THE FACT IS YOU STILL HAVE
TO FEED AND EMPLOY 1.2,
1.3 BILLION PEOPLE, SO THAT WILL
ALWAYS BE A CHALLENGE.
BUT I FIRMLY BELIEVE THAT, YOU
KNOW, THIS IS A CHALLENGE INDIA
AND INDIANS CAN FACE.
THE ONE LAST THING I WILL SAY IS
THE WEST HAS TRADITIONALLY
LOOKED AT INDIA VERSUS CHINA.
I THINK THE MOST INTERESTING
THING GOING AROUND RIGHT NOW IS
INDIA AND CHINA.
SO ONE OF THE LARGEST INVESTORS
IN INDIA IS CHINA.
IF YOU LOOK AT ALL THE VERY
LARGE CHINESE e-commerce
PLAYERS, THEY'RE ALL IN INDIA
RIGHT NOW BECAUSE THE CHINA
MARKET IS GETTING CLOSE TO
SATURATED AND THEY'RE SEEING THE
BIG OPPORTUNITIES IN INDIA
BECAUSE SOME OF THE SAME
TECHNOLOGICAL ISSUES... FOR
EXAMPLE, PEOPLE SAID
E-COMMERCE WOULD NEVER TAKE OFF
IN INDIA AND CHINA BECAUSE YOU
CAN'T HAVE BANKING AND CREDIT
CARDS AND STUFF.
AND THE CHINESE PEOPLE HAVE
SHOWN YOU DON'T NEED THAT.
THEY HAVE COME UP WITH ALI-PAY.
ALIBABA IS AN INVESTOR IN
SIMILAR COMPANIES IN INDIA.
FOR EXAMPLE, P.T.M. AND FREE
CHARGE IN INDIA WHICH IS
COMPLETELY REVOLUTIONIZING
E-COMMERCE IN INDIA.
THAT'S THE BIG FRONTIER.
ALL THESE FACTORS, RIGHT, ARE
GOING TO HELP, IT'S GOING TO
HELP GOVERNMENT, IT'S GOING TO
HELP PEOPLE AT ALL LEVELS OF
SOCIETY BECAUSE ESSENTIALLY IT'S
GOING TO UNLEASH EFFICIENCIES
AND PRODUCTIVITY WHICH IS ONLY
GOING TO HELP THE COUNTRY.

Steve says LET'S IN OUR LAST
COUPLE OF MINUTES HERE TALK
ABOUT YOUR MANDATE AT THE INDIA
INNOVATION INSTITUTE AT ROTMAN.
WHAT DO YOU DO?

The caption changes to "Canadian connection."

Partha says SO, THIS
IS AN INSTITUTE, IT'S ACTUALLY
JUST LOCATED AT ROTMAN.
I MUST MENTION THIS IS A U OF T
INITIATIVE.
WHAT WE ARE TRYING TO DO IS
WE'RE TRYING TO GET THE BEST OF
MINDS AT U OF T AND INDEED
ELSEWHERE TO ESSENTIALLY TRY TO
HIGHLIGHT ISSUES RELATED TO
INNOVATION AND INDIA.
AND IT DOESN'T NECESSARILY HAVE
TO BE ONE WAY.
IT COULD BE WHAT IDEAS CAN A
DEVELOPED NATION LIKE CANADA
HELP, WHAT CAN THEY PROVIDE TO
HELP A COUNTRY LIKE INDIA, WHICH
CLEARLY NEEDS IDEAS TO SUSTAIN
ITS GROWTH AND SO ON AND SO
FORTH.
BUT IT CAN BE THE OTHER WAY
AROUND AS WELL.
THERE'S LOTS GOING ON IN
COUNTRIES LIKE INDIA WHERE
PEOPLE ARE DOING INNOVATION WITH
VERY LIMITED RESOURCES, AND ONE
OF THE THINGS, YOU KNOW, LIVING
IN A CITY LIKE TORONTO AND
STUFF, YOU KNOW THAT GOVERNMENTS
ARE VERY OFTEN RESOURCE
CONSTRAINED.
HOW CAN YOU BE MORE EFFICIENT IN
THE USE OF RESOURCES, RIGHT?
WHAT WE WANT TO DO AT THE
INSTITUTE IS ESSENTIALLY GET
TALKS, DISCUSSIONS, YOU KNOW,
GET RESEARCH ON THE WORD
INNOVATION AND INDIA DEFINED
VERY BROADLY.
WHAT CAN DEVELOPING COUNTRIES
LEARN, LIKE INDIA, LEARN FROM
THE WEST TO INNOVATE MORE
SUCCESSFULLY, AND WHAT CAN THE
WEST LEARN FROM COUNTRIES LIKE
INDIA, OR SOUTH ASIA BROADLY, ON
HOW TO INNOVATE FRUGALLY.
SO, FOR EXAMPLE, WE'RE TRYING TO
GET A PROMINENT PEOPLE TO COME
AND GIVE TALKS, WE ARE TRYING...
WE'RE HOPING TO HAVE THE CURRENT
GOVERNOR TO POTENTIALLY COME AND
TALK TO US ABOUT... HE'S BEEN
ONE OF THE PEOPLE WHO HAS BEEN
SHEPHERDING THE INDIAN ECONOMY
WHICH, BY THE WAY, HAS SEEN
REDUCTION IN INFLATION RATES AND
REASONABLY GOOD MACROECONOMIC
PERFORMANCE WHILE THE WORLD'S
ECONOMY HAS BEEN GOING THROUGH A
LOT OF UNCERTAINTY.
BUT ALSO I'M INTERESTED IN
TRYING TO, FOR INSTANCE, GET A
STUDENT-RUN CONFERENCE WHERE THE
STUDENTS WOULD TRY TO INVITE
SPEAKERS AND TRY TO GET
PANELISTS TO GET DIFFERENT
TOPICS DISCUSSED ON, YOU KNOW,
WHAT'S GOING ON, WHAT'S
INNOVATIVE, WHAT CAN CANADA
LEARN FROM IT, AND CERTAINLY
WHAT CAN INDIA LEARN FROM THE
EXPERIENCE OF THE WEST AS IT
TRIES TO GROW ITSELF IN THE
FUTURE.

Steve says LET ME ASK YOU ONE
AN OFF-BEAT QUESTION BUT I ASKED
A NEW YORK TIMES QUESTION...
WHERE ARE YOU FROM ORIGINALLY?

Partha says YOU MEAN
WHERE IN INDIA?
I FIND THAT QUESTION EXTREMELY
HARD TO ANSWER.
I'M ETHNICALLY SOUTH INDIAN BUT
I GREW UP MOST OF MY LIFE IN THE
NORTH, IN DELHI AND BOMBAY AND
MY PARENTS LIVE IN BANGALORE.
I HAVE ALLEGIANCES TO FIVE OR
SIX DIFFERENT INDIAN CITIES.

Steve says THE QUESTION STILL
WORKS, AND THAT IS, IS THERE A
PART OF YOU THAT FEELS THE HEART
STRINGS TUGGING TO GO BACK AND
TO, YOU KNOW, APPLY YOUR TALENTS
THERE TO IMPROVE THE COUNTRY THERE?

Partha says THAT'S AN
EXCELLENT QUESTION AND I THINK
CERTAINLY THAT'S A FACTOR WHICH
COMES UP, NOT JUST FROM A TALENT
PERSPECTIVE, AS YOUR PARENTS GET
OLDER, YOU WONDER SHOULD I BE
HERE OR BACK IN INDIA WHERE YOUR
PARENTS LIVE AND SO AND SO
FORTH.
THE INDIAN DIASPORA HAS BEEN
TREMENDOUS RESOURCES FOR THE
COUNTRY.
IN TERMS OF, IF YOU LOOK AT
SILICON VALLEY AND INNOVATION,
THERE'S A VERY STRONG INDIAN
COMPONENT IN IT.
SOME OF IT HAS GONE BACK TO
INDIA IN TERMS OF INVESTMENTS
AND THE LOCATION OF MANY OF
THEIR OPERATIONS IN INDIA, HAVE
HAD TREMENDOUS BENEFITS FOR
INDIA.
SO IN MY CASE AS AN ACADEMIC,
WHILE I AM BASED HERE IN CANADA
AND I WAS IN THE U.S. BEFORE, I
DO SPEND A FAIR AMOUNT OF TIME
IN INDIA.
SO I WAS IN INDIA JUST RECENTLY
AT THE INDIAN SCHOOL OF BUSINESS
AND SIMILARLY WHEN I'M IN INDIA
I TRY TO TAKE PART IN
CONFERENCES AND SEMINARS AND
STUFF, SO I DO TRY TO MAINTAIN
THIS BICONTINENTAL EXISTENCE.

Steve says AND WHY, JUST
FINALLY, DO YOU THINK ONTARIANS
OUGHT TO CARE ABOUT WHAT'S GOING
ON IN INDIA?

Partha says I THINK
ONTARIANS SPECIFICALLY AND
CANADIANS IN GENERAL SHOULD CARE
ABOUT INDIA FOR A NUMBER OF
REASONS.
SO I HAVE THIS VIEW THAT IF YOU
THINK ABOUT... LET'S JUST TAKE
CANADA OVER THE U.S., RIGHT?
INDIA AND CHINA.
YOU ASK THE AVERAGE ONTARIAN OR
THE AVERAGE CANADIAN WHAT'S
GOING ON IN ASIA?
FOR THEM, ASIA IS CHINA.
RIGHT?
AND YOU ASK THE AVERAGE INDIAN
WHAT'S GOING ON IN THE WEST.
IT'S THE U.S., RIGHT?
I WANT TO SHIFT THE ATTENTION OF
THE AVERAGE INDIAN A BIT TO THE
NORTH AND I WANT TO SORT OF
CHANGE THE ATTENTION OF THE
AVERAGE ONTARIAN OR CANADIAN A
BIT TO THE SOUTH.
BECAUSE THERE'S A LOT GOING ON
BETWEEN INDIA AND CANADA AND
ONTARIO IN SPECIFIC.
SO WE HAVE A SHARED HISTORY.
WE HAVE A VERY SIMILAR SYSTEM.
I MEAN, WE ARE BOTH LIKE FORMER
BRITISH COLONIES.
WE HAVE A VERY SIMILAR SYSTEM OF
GOVERNMENT, THE WESTMINSTER
PARLIAMENTARY DEMOCRACY.
ENGLISH IS THE LANGUAGE OF
BUSINESS IN INDIA.
SO INDIA FOLLOWS A COMMON LAW,
ANGLO SAXON COMMON LAW SYSTEM,
AS FLAWED AS IT MAY BE, BUT THE
SYSTEMS ARE SIMILAR.
THE PREMIER OF ONTARIO, KATHLEEN
WYNNE, HAD A VERY SUCCESSFUL
VISIT TO INDIA A FEW MONTHS AGO
WHERE SHE MET THE PRIME MINISTER
OF INDIA, MR. MODI, A COUPLE OF
TIMES.
SHE MET THE LEADING
INDUSTRIALISTS AND SO ON AND SO
FORTH.
IT'S AMAZING BECAUSE FOR A SUB
NATIONAL LEADER TO GET THAT
LEVEL OF ACCESS.
CLEARLY THERE'S A LOT OF
INTEREST IN INDIA AS WELL.

Steve says WE SHOULD SAY IN THE
INTERESTS OF EQUAL TIME, PATRICK
BROWN, THE CONSERVATIVE PARTY
LEADER, CONSIDERS MR. MODI, ONE OF HIS
BEST FRIENDS.

Partha says I THINK
IT'S VERY IMPORTANT FOR
CANADIANS TO SEE IT AS AN
OPPORTUNITY.
AND CANADA CAN CONTRIBUTE A LOT
AND ONTARIO AS WELL.
FOR EXAMPLE, WE HAVE TREMENDOUS
EDUCATION INSTITUTIONS IN INDIA.
THE BIG GROWTH IS HAPPENING IN
EDUCATION IN INDIA.
INDIA IS ALSO SEEING A
REVOLUTION IN THINGS LIKE
ENERGY, ESPECIALLY RENEWABLE
ENERGY, AND CERTAINLY THAT'S AN
AREA WHERE CANADA AND ONTARIO
CAN PROVIDE LOTS OF EXPERTISE.
SO I THINK... AND THE LAST THING
IS, IF YOU'VE JUST SEEN THE
CHANGING DEMOGRAPHICS OF
ONTARIO, THERE'S A VERY LARGE
DIASPORA, SOUTH ASIAN DIASPORA.
THEY CAN SERVE AS A LINK BETWEEN
THE TWO COUNTRIES AND THAT'S WHY
THE PROSPECT OF PARTNERSHIPS
BETWEEN INDIA AND ONTARIO ARE
VERY BRIGHT.

The caption changes to "Producer: Meredith Martin, @MeredithMartin"

Steve says TERRIFIC.
GOOD TO SEE YOU THEN.
PARTHA MOHANRAM, PROFESSOR OF
FINANCIAL ACCOUNTING AND THE
DIRECTOR OF THE INDIA INNOVATION
INSTITUTE AT THE ROTMAN SCHOOL
OF MANAGEMENT, U OF T.

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