Can China and India be Growth Drivers for Developing Asia?

India and China are two Asian emerging economies, the unprecedented growth of which have led many to argue that in the face of slowdown in growth of the North these emerging economies will act as the new growth drivers for the South. However, not much empirical evidence is available to support this argument. This article estimates the growth linkages between the developing Asia and the two Asian emerging economies in terms of co-integration and causation in their growth rates. Both short-term and long-term relationships are tested between growth of China and India with growth of the developing countries of Asia for the period 1970-2009. The issue of whether these countries can provide market for the South is also examined. The results show that whereas China has acted as a growth driver for the developing Asia, no empirical evidence of this is found for India.