From the Globe and Mail:
The World Bank has come up with a new way to look at the relative clout of economies, and it turns out most previous estimates have exaggerated the size of China’s and India’s economies by roughly 40 per cent.
The new, and smaller, China still ranks behind the United States as the second largest economy in the world, according to a report on the comparative size of the economies of 146 countries.
And no one disputes the fact that China and India is still growing faster than any other major economies.
But the new figures put a slightly different spin on how economists look at the relative economic clout of countries. [Full Text]