Two things: in terms of public perception, by and large, people only look at the GDP. So us being half of India (whereas in 1990 we were at 66%) is understandable, but also not good. Factor in we should have been able to maintain pace with India being so much smaller, is doubly not good. But to still be behind Pakistan - even with their negative growth rate, is also not good.
But in the really meaningful areas, we are beating them both on almost all indices - as attested to by Amartya Sen also. But public perception, which largely dictates foreign interest and intervention will generally not see that.
Cricket cannot live with the mistaken belief that people want to see big hits. People like to see goals, but no one is talking of moving the goalposts a metre wider either side. (Harsha Bhogle)