You have summarized it well and I agree to most of your points. Its ridiculous how educational institutions have such a narrow focus on exams and the grades you score rather than actual learning. While this might be true in other places too, its ingrained in society here and any deviation from the set norms is not accepted well. Teachers are not paid well either and that adds to the problem.

Perhaps its because of this that innovation and research are very limited here.

Another fundamental difference is the constitution and the laws. Atleast on the book, the American constitution provides far more rights to the citizens than the Indian constitution. India as a country is far more regulated by the government. This means there are more avenues for corruption to happen since you need the permission of the authorities for almost everything. I feel the entire country is moving towards an authoritarian state with so much power vested in government institutions.

There are just too many things to list that its overloading my head when I try to list them out.I hope that the nation moves forward in a direction of its own, taking in the good values while discarding the propaganda.