Jade
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Be very careful what you wish for. Too many people create problems.
Even in the year 2040, it is the US that'd be the largest consumer market. Through and through. A large population wouldn't mean much. Even an educated one.
India always had more population than most countries through out India's history. Population is a not a problem for India, and Hinduism that celebrates life has always had a calming effect on our way of life. And as on consumer market, irrespective of other consumer markets, India is going to be one hell of a consumer market. Every corporation will want to be in India or will fail.
Now, what could effect India from reaching its full potential? IMO 1) Corruption 2) Diseases 3) Caste system 4) Conflicts with Pakistan or China 5) Armed conflicts with in such as Kashmir 6) regional conflicts among states. 7) Illiteracy
I don't see Population, currency fluctuation, size of the economy or economic growth as most posters have pointed out to be of concern for India on long term basis.