NEW YORK (TheStreet) -- The global economic crisis of 2008 was pivotal for emerging markets, but developed countries are often analyzed with the same criteria as before the crisis.
Ruchir Sharma, Head of Emerging Markets and Chief Global Strategist for Morgan Stanley(MS) - Get Report , believes that populations are an underrated part of measuring growth, for both emerging and developed countries.
"I think that demographics is one of those very underappreciated factors behind economic growth," Sharma said on CNBC's "Power Lunch." "On a per capita income basis Japan is not doing that badly but in absolute growth numbers Japan looks pathetic because of the demographic headwinds."
Sharma's new book charts what he believes to be the 10 most important factors for driving economic growth. Ranking countries between good, average and ugly, Sharma says he aims to "redefine the math for economic success."
The U.S. does not look as stagnant as many economists believe under Sharma's new method.
"It is lower than what it used to be, but compared to other countries in the world, the United States looks relatively good," Sharma noted.
Additionally, Sharma demonstrates that his method can differentiate between the growth quality of countries such as Argentina and Brazil. Both countries have seen their stock markets rise by more than 40% this year, but Sharma rates the former as good and the latter as ugly.
"The first two years of a new leader coming to power, when you get the maximum bang for the buck in the stock market, about 90% of the outperformance stands to be then. But in Brazil, it's a bit more mixed," Sharma added.
Shares of Morgan Stanley are down by 0.55% to $28.86 at the close of trading today.
Separately, TheStreet Ratings Team rates Morgan Stanley as a "buy" with a ratings score of B.
This is driven by a number of strengths, which TheStreet Ratings team believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its attractive valuation levels and notable return on equity. TheStreet Ratings feels its strengths outweigh the fact that the company has had sub par growth in net income.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: MS