According to the latest round of International Comparison Program, India becomes world’s third largest economy in terms of PPP, displacing Japan to fourth. Top two ranks remain intact with US and China firmly at first and second.
PPP is used compare the the price level difference in different economies. India’s share in World economy is 6.4% compared with China’s 14.9% and US’ 17.1, according to the latest ICP.
Though in absolute Dollar terms India is placed at 12th position.