Most of the "knowledge driven economy" is bullshit imo. They're busywork that allows societies that already have a lot of wealth to distribute it to their middle and upper class. People like HFTs don't create nearly the same amount value as their income justifies.

It's interesting to note that India's 7% gdp is from software and tech related exports. Knowledge driven economy is not a myth in the case is india

Well, most of that comes by building products from established standards by the west and providing support services. So, the point remains, knowledge based economy, while certainly useful, is not the only way for an economy to grow. Sheer hardwork can be an immense force too, that's what the chinese did over the years and what this article points to as well.

My point is that, with the transformation coming, sheer hardwork will lose the relevance.

China did it when world still needed humans to do lot of manufacturing which is changing very rapidly. In fact, India's manufacturing sector is not adapting lot of automation just to make sure they can capitalise human effort which may be cheaper now but may not be in future ( just like in China)

Correct, but have you thought about what that 7% serves ? Most of it goes to manage real businesses in US and other countries Chase, Walmart, Maersk etc.

Does it really matter whom it serves as long as it improves our economy? BTW what makes you think software is not a real business? It is as essential as manufacturing now.

That has been our policy from a while. To further my point, India is still the biggest exporter of beef.

Who were the "essential workers" during the lock down, other than medical professionals ? Did people horde Wikipedia articles or toilet paper ?

Knowledge driven economy is a possibility in the future. Automation is definitely driving down jobs, but not to the extent we are imagining. Most production of the world is being done in China and other ASEAN countries by its billion+ population.

India should be targetting that future rather than past successes of other economies. That is exactly how China became successful by targeting the future needs before 30 years or so.

While China is investing a lot in AI and automation everywhere, do you think it make sense for India to invest in brick and mortar manufacturing sector?

Now that you raised the question of lockdown. Imagine the similar situation in 20 years in future, do you still expect "essential workers" to risk their lives or rather want some drones/robots(controlled by humans of course) doing the work on ground?

I accept your argument that India should be focusing on the future and not the past. People and govt of India are definitely guilty of that.

But please answer my question, where do you want manufacturing to happen in the next 20 years ? India or China ?

Regarding AI and Automation, yes, India is definitely falling behind in that race and should invest more. But what percentage of the population will support that ? Will the poor care about food on their plates or AI and Automation ? A democracy is represented by majority not minority.

In next 20 years, do you want a world lead by democracies or China ? Please vote with your wallet. Democracy is as much about duties as rights.

Manufacturing sector itself is getting transformed by automation and 3d printing and other tech. Which actually increase the efficiency of capital infused to more output, which can help improve economy overall, hence the people.

Wherever the manufacturing happens, India should lead that rather than doing it itself.

I am all for democracy, but China has proven that democracy may not be needed for economic growth, it is upto people to choose the path rather than something forced on them. I believe in individual liberty than democracy.