Global Prosperity Index and Entrepreneurship – A Comparison [India vs. China/Israel and US]

UK based Legatum Institute conducted an annual prosperity survey of 104 countries and measured countries on prosperity – not just wealth, but factors such as health, education, safety, governance, support for entrepreneurship/innovation etc.

The nine sub-indexes/parameters are:

• Economic Fundamentals – a growing, sound economy that provides opportunities for wealth creation
• Entrepreneurship and Innovation – an environment friendly to new enterprises and the commercialization of new ideas
• Democratic Institutions – transparent and accountable governing institutions that promote economic growth
• Education – an accessible, high-quality educational system that fosters human development
• Health – the physical wellbeing of the populace
• Safety and Security – a safe environment in which people can pursue opportunity
• Governance – an honest and effective government that preserves order and encourages productive citizenship
• Personal Freedom – the degree to which individuals can choose the course of their lives
• Social Capital – trustworthiness in relationships and strong communities.

Here is a comparison of India/China/Israel and US on different parameters [India: Green, China: Blue, Israel: Red and US: Orange]

India beats China in all parameters except the ones which are most important to foster entrepreneurship – Innovation, Education and Health (Highly Recommended Read: Entrepreneurship: China vs. India Divide].

As far as Israel is concerned, it scores far above China and India – the results shows up in the quality of startups that Israel produces.

What’s your take on the study?

[Download the report (pdf) | Visit Legatum Website]