American dominance at an end?

Jeffrey Sachs, economist-author of The End of Poverty and director of the Earth Institute at Columbia University, proposes that America’s dominance of global politics and economics will see its end in the 21^st Century. China, India and Brazil are growing powers on the world stage, but current global issues may be more than any one state can handle.

It began with Egypt, became Assyria and was overthrown by Babylon which transpired at the hands of the Medes and Persians. After this Alexander made Greece great and laid the foundation for Rome to become an empire, which paved the way for Britain and its dominant colony America.

The world has seen its share of western political superpowers, ruling over neighbouring states with subtle varieties of Orwellian fear, while maintaining anonymity through cynicism and free market ideology. The problems posed by an overpopulated world in the 21^st Century may render the current power that is, useless.

The Roman and American Empires

The Political Enquirer draws attention to a number of similarities between America today and the Roman Empire, the demise of which was as humiliating as its rise to power was grand.

Historians Arnold Toynbee and James Burke shed light on one of the more obvious similarities by stating that “the costs of military defense (sic) and the pomp of Emperors continued…financial needs continued to increase, but the means of meeting them steadily eroded”.

The US at present has a military budget of US$1 trillion a year overseas, going to the occupation of multiple countries, upkeep of permanent bases with permanent staff and the involvement in the Iraqi conflict costing around US$600 million. This coupled with the fact that America, like Rome, produces hardly any exportable goods (as they provide more services) means their trade deficit is huge.

In this post-industrial age of information, technological advancement and entrepreneurialism are the foundation of business and industry. Yet America is falling behind in these categories as well, according to The Political Enquirer, as China steps to the fore.

Another similarity between Rome and America is the influx of foreigners putting pressure on an inflated economy. Not only did the ancient Empire have to deal with the immediate issues that come with immigrants, by catering for them physically, but they ultimately became predominant work forces leading to the Empire to rely on them.

In fact, “The Empire had come to depend on the enrolment of barbarians [as foreigners were known]…in the army…a service [made] attractive to them by the prospect of power and wealth”. The larger proportions of the American population are retiring and more immigrants are coming into the country than natives are born, which may eventually lead to an economic crisis where the workforce of America is almost entirely foreign.

The problems facing the US, however, traverse the bounds of economics and geopolitics. In an article published by Time Magazine entitled “Common Wealth”, Sachs draws attention to these issues facing humanity as being greater than that which America can handle.

Global Village Creates Community Crisis

The issue of sustainable development of the planet may cause the very idea of autonomous nations to become a thing of the past. In the article, Sachs notes:

“The defining challenge of the 21^st Century will be to face the reality that humanity shares a common fate on a crowded planet”.

The problem of an overpopulated global village is that no issue can be unique to any one nation. The butterfly effect becomes immediate and the concerns of Africa, Asia and the Far East become the concerns of the West. The good and the bad affect all corners: trade and immigration help the poor gain a share of the pie while diseases, terrorism and refugees become a global epidemic.

Continuing on this course, Sachs notes, will cause greater conflicts between the wealthy and the poor and will create worse environmental disasters with poorer living standards as energy, water and food continue to become correlated problems.

The Director of the Earth Institute mentions four changes taking place at present that will need to be understood before any problems can be addressed:

1. Economic growth is spreading in terms of income per person, more rapidly in the Asia particularly, which means the Far East will become the economy centre of the world.
2. It follows from 1 then that as the world’s population rises, so will the global economy.
3. Overpopulation has caused unprecedented and numerous environmental disasters.
4. While the poor make money, the very poorest will remain at the bottom.

In recent years governments have acknowledged these global problems and have attempted to resolve them with treaties such as Kyoto and others, but these are groping in the dark at best. The underlying problem when it comes to finding solutions is the “cynicism, defeatism and outdated institutions” as well as a growing international market competition.

There can be no solution in a climate of competing nation-states. It seems all to tongue-in-cheek to say that with co-operation can sustainable technologies be developed, systems of energy be constructed, land resources be conserved and population be stabilized, but that is essentially what is required: a common wealth. A common wealth of knowledge and economies.

According to Sachs, the goals he outlines are achievable in spite of them being global. Whether they are or not however cannot deny the fact that the American dominance must be replaced by a new world order. It is here where we would need to throw around words like egalitarianism, isonomy and emancipation, for indeed the world’s economy is one of cynicism, to be overcome before commonality is established.

For more information on sustainable development visit the Earth Institute.

More by Jeffrey Sachs:

Helping the world’s poorest

Always with us?

Jason Esch

April 2008

Written for Rapid Info (Pty) Ltd