India is a huge (by population) with a similar start point to china also a huge (by population) country, they have some similarities in their culture, but a large defining difference is their way of government, and there reactions to "The West". It isn't totally irrelevant, and meaningful comparisons can be made, but they must be considered.
> Historically, communist countries have had terrible standards of living; this is extremely well documented
You mean "Historically (Except China)"... That's like excluding the US when talking about Democracy.
> ...but we've got a few more examples of that working out, than we do of communist regimes working out
Actually I think you'll find the poorest nations are mostly democratic (of some form). [1]
[1] http://en.wikipedia.org/wiki/List_of_countries_by_percentage...