Can India's consumers power the economy? Experts say it's not enough

India is parched for capital expenditure, and its trade deficits are ballooning, particularly with China. Every new investment is a victory of sorts for policymakers

Shortly before the 2014 election that made him prime minister, Narendra Modi came up with the idea that India’s young population, constitutional checks on arbitrary political power and large domestic market would bring prosperity over a decade. He even coined a slogan, calling it the nation’s 3D advantage — demographics, democracy and demand.    

India’s democratic institutions, such as the judiciary and a free press, have frayed under Modi. With just over 40% of the labor force engaged in the economy — among the worst rates of worker participation anywhere in the world — the youth-bulge narrative has also lost