'Why should we listen to them in India?': Sridhar Vembu calls out American economists’ failed legacy

Zoho founder Sridhar Vembu has fired a pointed critique at academic economics, questioning its influence on India's policy path and drawing a direct line between America's industrial decline and its Nobel-winning economists. In a post on X, Vembu challenged India’s intellectual reliance on Western economic thought, warning that doing so may come at the cost of national sovereignty and long-term prosperity.

“America won all the economics Nobel prizes while destroying American manufacturing,” Vembu wrote. “Why should we listen to them in India?”

The remark was prompted by a thread from Stripe CEO Patrick Collison, who argued that for the U.S. to lead in strategic sectors like drones, robotics, solar energy, batteries, and pharmaceuticals, it must “bite the bullet, and win at manufacturing across the board.”

Vembu agreed—and took the argument further. “This is exactly true for India as well,” he said, noting that advanced manufacturing is not just an economic issue but one of sovereignty, security, and survival for a country of India’s scale.

With 23 million births per year, India cannot afford to rely on trade and services alone, Vembu warned. “Given our sheer size, we cannot assume we can trade our way to prosperity, as small nations can do. We have to make and invent our way to prosperity.”

He emphasized that manufacturing enables deep scientific and technological development, and that India’s demographic advantage offers the talent needed to lead across multiple domains—if invested in wisely.

Vembu also launched a direct attack on the utility of academic economics in shaping real-world outcomes. “Patrick offers a soft critique of academic economics. I would be much harsher,” he said. “Listening to academic economists in these matters is harmful for national wealth and well-being.”