U.S. No Longer World's Largest Economy
These figures are measured using purchasing power parity, which takes into account the standard of living of each country. This provides a more fair and relevant measure of GDP.
However, the U.S. still has the largest economy of any single country. The next largest is China, at $7 trillion, followed by Japan at $4 trillion. The largest single EU country is Germany, at $2.8 trillion, which has been surpassed by India, whose GDP was $2.965 trillion in 2007.
What It Means to You
The U.S. economy is growing, but just not as fast as the EU. Many analysts initially said that the EU "experiment" was doomed to failure, since these vastly different countries could never work together as a unified economy. Instead, the EU is so successful that areas such as Southeast Asia and Latin America are considerering unified economies.The EU now has an economy of scale that eats into the comparative advantage the U.S. has traditionally enjoyed. Furthermore, the EU's currency, the euro, is now competing with the dollar as a global currency. Thanks to these competitive pressures, a U.S. recession could be the precursor to a lower standard of living that may not return to previous, stronger levels.
Comments
The EU isn’t a nation state.
Hi Andrew,
True,and I mentioned that in the third paragraph. However, what I think is interesting is that the EU is a new type of economic entity…not a nation state, but functioning as one economically.
ASEAN is also talking about forming a similar economic entity, with a single currency as well.
Meanwhile, in the U.S., protectionism is rearing its ugly head…which would only leave the U.S. economy further behind the trend.
Kimberly
A friend of mine and I have discussed relative sizes of national economies and I would appreciate some well-informed input, since neither she nor I are economists. She claims that China’s economy is now bigger than the U.S. economy’ and India is now 3rd.
My inclination is to use GDP as the basis of comparison, but factoring in Purchasing Power Parity can give a rather different picture of the relative sizes of national economies. How misleading are those figures?
The different GDP rankings among countries which put the U.S, China and India at 1st , 4th and 12th and at 1st, 7th and 12th, respectively. (This discrepancy is likely due to a recent release of previously undisclosed sectors of China’s economy.) PPP adjustments put them at 1st, 2nd and 4th, respectively.
How far off would you say she is in her claims?
I would love to know what her source is.
I use the CIA World Factbook, GDP using PPP. It puts EU first, U.S. second and China third.
I can’t make any comment about her claim without knowing the source.
Kimberly
Never count the USA out. For strucrual reasons it will be the best economy with one of the highest living standards for years to come. China and India habe a lot of people but are contrained by corruption, human rights, polution, etc. The true judge of a prosperous country and that countries might, is how many people would move there in a heart beat if they could.
Hi Cess,
Well, that great economy of yours just required $700 billion to survive (have fun paying that back). Where do you think that money came from? If China didn’t continue to lend you the money, the US economy wouldn’t exist. As a matter of fact, if China were so inclined, they could dump their trillions of US investments tomorrow, and there wouldn’t be a US economy anymore. Luckily for all of us, this is not (yet) in China’s interest.
That many people in the third world want to move to the US has much more to do with Hollywood dreams than the state of the US economy. Most immigrants end up in poverty being exploited in the US, and these people would in general be much better of in countries such as Holland or Sweden. However, Holland hasn’t spent the last 50 years trying to convince their own people and the rest of the world how wonderful it is…
In the last paragraph of the article why do you say the euro is now competing with the dollar as a golbal currency? It is actually, and for a long time now, more valuable. The EU economy is stronger than the US, give the facts don’t sugar coat it.
Hi Nacho,
There are still more holdings of the Dollar than the Euro by a long shot – and that’s even before everyone started hoarding dollars.
Kimberly
As usual, most of the arguments presented here are purely a matter of perspective… the EU is a group of nations and is therefore subject to political problems between these nations. California doesn’t have an argument with Texas and hurt the entire US economy, but tension between nations happens all the time. Comparing the US economy to the EU is riddled with problems because the Euro is just a currency type and doesn’t reflect anything else these nations have in common. As far as the 700 billion dollar “bailout” is concerned, it’s not a bailout! The US government is purchasing assets at pennies on the dollar to reestablish a fair market trading value for those notes. In 10 years they will sell those notes and turn a large profit. The US is the worlds largest economy BY FAR and this is easily demonstrated when the US economy shows any signs of weakness and the rest of the world takes a tumble.
Kim,
Like the rest of the bloggers, I don’t think the comparison is fair.
Also the Purchase Power Parity (PPP) is a poor metric to use since it overstates the actual economic activity in a country. Purchase Power parity only makes an assessment of price equivalence of a “basket of goods”. People in each of these countries do not consume at those prices. For example, an Intel does not sell its Core 2 Duo at a price deflated by the PPP of 5 in China.
Ceteris Paribus, as the dollar strengthens and EURO weakens, the US economy will be larger again – which again is an improper assessment.
The PPP and the Foreign Exchange rates do not establish the size of or the prosperity within an economy. It is just good discussion.
As Kimberly mentioned, the EU has been surprisingly successful in it’s efforts of functioning as one economic region. This far surpasses just having a single currency by the way. Their economic policies are more and more in tune as well.
The geo-political arena is changing rapidly and it might very well be the case that the EU will be far more capable of fulfilling the role of the world’s leading entity than the USA.
The problem for the USA is that they are so determined to change the world that their political capital is deteriorating even more rapidly than their economic status.
Whe’re witnessing what is probably going to be the last decade of the USA as the dominant nation in the world. The worlds biggest single nation economy will be that of China, the world’s reserve currency will be the EURO, and the preferred partner in case of geo-political problems will probably be the EU (exactly because they don’t fly their bombers into every conflict right away, with the obvious aim of bringing coca cola democracy).
It’s probably for the best too.
The USA remains number one in technological innovation, the state of California’s GDP beats that of most G20 countries, and so does the economy of Texas. The USA leads in computer technology, space, and academic thought (look at all the Nobel prize winners.
Hi Rocco,
We have been, but will we continue to be? The European Center for Nuclear Research opened the world’s biggest and most complex machine, the Large Hadron linear collider in Cern, Switzerland in September 2008. It will be the center of attention for particle physicists over the next 15 years because of its unique ability to address questions about the structure of matter and the evolution of the universe.
The U.S., on the other hand, will shut down the world’s largest particle accelerator in 2010. To retain its leadership position, the U.S. needs to increase its particle physics research budget by at least 2-3% per year.
Kimberly
If the rest of the world consumed like the US….we would need 5 planets.
No worries….we can always invade another country….if we run out of resources
That’s probably the only “bright” spot with the recession…the U.S. will stop consuming – and probably for quite a while.
Kimberly
It doesn’t mean anything to Europe if America becomes a protectionist. America imports much more than it exports. The power of Americas large consumer market is decreasing and most of the few American exporting industries are not leading. If the American government injects 700 miljard, understand it lends this money from abroad. If the dollar would become volatile, we might become protectionists with our cash.
Don’t underestimate Europe. We have a very long rich history, a history where whe have prospered even when we were not acting as a unit. Since the war Europe has steadily progressed in become more unified, albeit very slowly.
Europeans also are more internationally oriented. For example, the Netherlands allmost 90% of its inhabitants has a passport. To say that far less Americans have a passport would still be an understatement. It’s so damn easy for Americans to speak about Europe without ever being there and not respecting it’s own roots.
It’s America’s arrogance and lack of diplomacy which has made it less popular around the world. These are the days where America needs friends. With being a leader also comes a great responsibility, in terms of foreign relations, financials and moral. The Bush administration has stained the reputation of America in a very ugly kind of bad way.
What about NAFTA? If US, Canada and Mexico’s economies would consider something like The EU, what would be the result?
Well, what now.
Jelle’s assessment this being the last decade of dominance of the US is playing out – if it takes the US a year to get out of the mess it is in, it will take a decade the for EU to get out of it. I can see some definite wishful thinking there.
Jelle & Simon should check their facts about EU starting to become cohesive. Trichet was raising interest rates to combat inflation with Spain and Italy both in recession – that is not the sign of a cohesive entity. The ECB is heavily driven by France and Germany.
Also, it is the sign of stupidity as the ECB is charged with only the price stability mandate and heck they kept fighting inflation by raising rates even while the unemployment in several regions had hit 13%. They subsequently moved the rates well below where they started.
Having worked for a European company, it is clear to me that the European attitude of superiority which is their downfall has still not withered. For the little they know and understand, their claims far overstate the reality. An example of this is the famous Financial Times front page on how the US is unable to comprehend the coming depression and the advise on how to fix it – all this while the same thing was happening in their back yard and they didn’t figure it out. Germany said the problem is across the pond not in Germany and they jumped into a recession faster than the US – and kept scratching their head.
The LHC fell apart and needs a 6 month repair even before the first proton was let loose in it. It will be good for science in general but hope you know that the US funded 10% of the $8 billion and scientists from here are working with European scientists. Hope they find the “God particals” they have set out to find but surely it will not be by themselves.
The greatest tragedy of all this is how all these “EURO” fan boys have forgotten that just over 60 years ago the United States single handedly saved Europe’s ass. Don’t forget that all you ARROGANT AND UN APPRECIATIVE Europeans owe and will continue to owe your very existance to the United States. Yes the United States is in a slump right now and it’s remarkable how the coyotes and vultures have come out to fester in it’s time of weakness. Don’t forget that EU is a union of many nations therefore the United States as a nation is still the largest economy in the world. Everyone has seen the way the United States has overcome many tougher times before and will once again. The United States will never go down, because Americans do not just lay down and die, we fight and we succeed. WE OVERCOME, NOW AND FOREVER. GOD BLESS AMERICA,THE LAND OF TRUE FREEDOM AND OPPORTUNITY.
Rogers, well said. Kimberly wrote:”The European Center for Nuclear Research opened the world’s biggest and most complex machine, the Large Hadron linear collider in Cern, Switzerland in September 2008.” actually wrong. this is a coalition project including USA, Japan, Russia…. The project was suppose to be placed in Japan, but because of the Nuclear issue they move it close to France. So get your fact first, and Good night
Thanks, “lk” (posting #6)
I was just about to say all of that, though albeit not nearly so eloquently as you did.
To all Americans out there: stop believing all the nonsense you are being fed by Hollywood, Fox “News,” and your politicians. You are still holding on to the has-been dream of the “huddled masses” stomping all over one another to live in your country, after weeping a tear at the Statue of Liberty. Once they get to your country, as “lk” has stated, they spend years as doctors driving cabs, or engineers washing floors, never truly accepted as a bona-fine American.
Lots (and I mean LOTS) of other countries are much, much better places to live than yours. My wife has lived in your country, and no, thank you.
“The greatest tragedy of all this is how all these “EURO” fan boys have forgotten that just over 60 years ago the United States single handedly saved Europe’s ass. Don’t forget that all you ARROGANT AND UN APPRECIATIVE Europeans owe and will continue to owe your very existance to the United States. Yes the United States is in a slump right now and it’s remarkable how the coyotes and vultures have come out to fester in it’s time of weakness. Don’t forget that EU is a union of many nations therefore the United States as a nation is still the largest economy in the world. Everyone has seen the way the United States has overcome many tougher times before and will once again. The United States will never go down, because Americans do not just lay down and die, we fight and we succeed. WE OVERCOME, NOW AND FOREVER. GOD BLESS AMERICA,THE LAND OF TRUE FREEDOM AND OPPORTUNITY. ”
Actually, it was that last line that really helped put your post into the fantasy category.
Do you people really buy all that blown-up, self-gratifying hooey?
First of all, no one said you would lay down and die. Relax, put the gun down …
Also, no one said that the EU is a country. The author of the article is simply giving a balanced comparison of world economies, and if anything, the article is a commentary on the power of unity. That’s also something that’s sprayed at you guys quite often, isn’t it, what is it, “united we stand?”
Also, to help dispel your own diluted understanding of history: in the article, you refer to the fact that, in your opinion, Europe wouldn’t exist without your country. I find that laughable, considering the fact that the U.S. wouldn’t exist if it weren’t for European explorers. I know you guys divinize Columbus, but you might want to read up on Eric the Red, Walter Raleigh, Amerigo Vespucci, etc. And hey, they’re all European.
So thank you for the typically American machismo-laden post. We’ll make sure to think about that next time we’re watching Rambo.
AND WHAT ABOUT BRAZIL?WHAT CAN U TELL ME ABOUT ECONOMY OF THIS COUNTRY NOWADAYS?
Yes, as the first commenter mentioned, this article does compare apples and oranges. The title, therefore, is disingenuous. Nevertheless, your comments on comparative advantage are interesting.
Who Cares? It stands to reason as more EU countries join the Euro it will be become a bigger economy. Europe’s second largest economy, the UK hasn’t even joined the Euro yet and for good reason. This new economy has still much to prove before it would ever be accepted by the British.
Reply to NETO –
Here are two articles about Brazil’s economy.
Brazil’s Economy Weakens
A Profile of Brazil’s Economy
Kimberly
I find it laughable that Kimberly wants to compare the European Union and the Euro Trash economy with the U.S.A. economy. One is an illicit and supranational cult whereas the latter is a free market who also happens to be the world’s largest importer.
It’s all relative anyways. This is China’s time to shine. Not Europe or America’s.
You can’t compare EU, China or US with GDP.
Indeed EU is the biggest economy :
EU GDP $19.105 trillions
US $14.67 trillions
Source : IMF Data Mapper
BUT
EU labour force : about 210 million people
US : about 160 million people
The best way to compare the wealth of countries is to base your statements on GDP per capita.
EU GDP per capita $41000
US $47000
US is wealthier than EU but that’s normal because eastern European states were under a communist system that’s why they have an high growth rate and soon EU economy will stabilize and be same as US’s. States like Germany + France + UK + Italy + Spain or the Eurozone are as wealthy as US.
Nathan : What a rude and uneducated-like comment, may I ask you on what are you basing your statement?
For the moment, EU will remain the first economy during 30-40 years then China and India should take the lead according to economists.
There seem to be quite some harsh and shortsighted statements in here.
It’s true, the US fell this time and it dragged the world economy down. They’ve got power, but if Europe would have been the first to fall, it would also have harsh effects on the the world economy, the EU is also quite a big importer. Europe and America can’t live without one another at this moment, and both also have great importance in keeping good records with China. The US is no longer a strong leader that does not need any allies to succeed. It is tied to many other countries to stay successful. The main economies need each other, that’s the only reason why one causes such domino reaction.
And then the ‘america saved europe’s ass in WWII’ argument. Yes and the Europeans are grateful for that, but don’t make it seem like it’s an heroic action. There was quite a bit of self interest in that action + they were attacked themselves by the japanese. If they wouldn’t have saved europe who would be their main ally? The US has built some of it’s former wealth on Europe’s back (like during WWI).
I live in Europe, I’ve also been in the US and I’ve also studied the european integration process. European countries are too different to ever become ‘the United States Of Europe’ though that idea was already introduced about 60 years ago. And there is quite a large wealth difference between western and eastern europe. Countries like Germany, the Netherlands, Belgium, France have a very similar standard of living to the US’, there’s even, I think, less poverty than there is in the US because of the good social security. The eastern european countries are only part of the EU since 2004 and two since 2007, many of them were communist countries less than 2 decades ago. It cannot be expected at the moment that they have similar wealth, that’s something for the future hopefully, I’m certain they are working hard on that matter. The EU has a larger population, and even several more countries that could join in the future, so I believe in the long term even closer integration will happen, it will never become a single state probably, but it has a supranational entity and more and more aspects happen on a supranational level, the EU has a larger potential to become the larger Economy in terms of GDP, but I don’t think it will ever be in terms of GDP per capita. In the long term I see this ranking: GDP ==> 1: China, 2: EU, 3: US. But more importantly GDP per Capita ==> 1: US, 2: Japan, 3: EU
The truth is that the US economy is the largest if compared among countries/nations. The EU economy, in turn, is the largest of all, when compared among world economies. People may say whatever they say about it; truth be said: it (the EU economy)is growing more and more powerful and influential in the world.
Really a mixed bag. “Michael” has perhaps the most distorted view of America. I have lived in the US and Sweden (more than 10 years in both countries) and I have extensively studied European immigration (masters degree). I think many people are discounting the vast slums of immigrants that Europe has created. Where I live in Malmo Sweden it is like a powder keg. In Copenhagen the situation is also very volatile.
During my research I found that many of the immigrants that I interviewed had intended to go to the US but could not get a visa. Now many of them are stuck in places like Rosengard (Malmo) or the thousands of other ghettos that Europe has created for them.
Contrast this with the success rate of many past and recent immigrant groups in the US (as measured by economic participation – particularly from the middle east) and you have a much more accurate picture of the contrasts between the two continents. Iranian doctors are hardly driving cabs in the US, as many of them are doing in Stockholm. Or perhaps you would like to talk to Imad, an engineer from the Middle East, whose friends went to the US and got jobs as engineers immediately. He is cleaning hotel rooms in Denmark. The statistics overwhelmingly support this story.
On top of that European politics are increasingly becoming nationalistic (Austria, Norway, and Switzerland for example). I hardly doubt any European country is ready to elect a black man named Hussein. And this is a tribute to the US.
Many have also brought up US foreign policy, which had been abysmal under the Bush administration. We should not, however, forget the situation in Yugslavia and how “well” Europe took care of the genocide on our own continent. It was not too long ago that the US was forced to step in (right or wrong) and take care of the situation.
Some of you are not admitting how disjointed the EU actually is. There is hardly an agreed upon foreign policy and many countries have significant differences on how the world should look (just look at Denmark and Sweden – worlds apart). How can the continent ever be a “force” until there is a unified coherent policy.
Yes Europe has significant strengths in social policies and generally cares enormously for the well being of its inhabitants. The mixed market economy has created a very high standard of living. Its inhabitants are healthy, prosperous, and happy. In fact the US could learn a lot from Europe. It is not, however, a one way street. I am admittedly a huge fan of both continents. Anyone who feels otherwise has not spent a significant amount of time in either.
When I made a comment about the largest and most influential economies in the world, I forgot a very important point-of-view: the US economy is still much bigger than the second economy (Japan), more than 3 times larger (according to data on Wikipedia, from the IMF, the World Bank, and the CIA World Factbook). Also, according to their data, the difference between the US economy and the EU economy is not so big… in other words, the US is still almost as wealthy as “27 sovereign nation states” which are the EU, according to Wikipedia, and bigger than the second and third economies (Japan and China) combined.
Cheers
Hi Kimberly Amadeo!
Kimberly the particle collider was a joint effort between European nations and the U.S, your point holds no relevance what so ever.
Let me apologize on behalf of my countrymen for not wanting to build what could be tentatively the most dangerous device created on our own soil.
Time to hit the research forums Kim.
I cannot believe this blog is still going on.
The first statement reads “In 2007, the U.S. lost its seat to the European Union as the world’s largest economy”. How much more erroneous can that statement be – Washington apples to Florida oranges.
Either compare:
a) EU region to NA. Comparing EU zone which is an aggregate of 25 countries with a population of 325 million to one country and calling it as a bigger economy is ridiculous.
b) EURO to Dollars: The US Dollar was weakened thru intervention with in a year of EURO’s debut to help its survival. It is headed for another collapse now.
c) Quality of life: Compare it with equals – for example at least start with a country that is 100 million+ in population. Sorry Sweden is not a apples-to-apples comparison to the US.
The US subsidizes about 60% of the world if you take the world currencies tied artifically to the US dollar – including China, India. Like I mentioned above, the EURO experiment was headed for failure till the US bailed it out – there is a reason why UK stayed out of going EURO, it is poorly coordinated. Spain’s unemployment was drien from 10% -18% now because of poor monatary policy from ECB. ECB was hell bent on reducing inflation in Germany and France and kept raising interest rates. Spain will be the first country to bail out of this marriage of conveniences.
Lastly, there is no de-coupling of economies anywhere in sight. China or Japan has not bailed out the world economy. It will not for another several decades.
Establish a boundary condition to comparision and truly compare apples-to-apples. The US has its flaws but the basic permise of this artical is flawed with even more flawed analysis.
The native peoples of Europe are becoming extinct, no maybe about it. That will change everything there. Most will then be muslims of Middle Eastern descent. Perhaps persecution?
There are Asian peoples in their native lands also becoming extinct such as the Japanese and the Koreans, which will change things there also. They have been bringing in foreign workers to help with their aging populations, mostly muslims of Asian descent.
Perhaps forced mass nationalization?
In twenty years many native Chinese populations are also expected to start going into decline, except for their muslim population. Perhaps mass birth plans and persecution to avoid fate of Europeans?
In the USA the population of whites are declining, blacks are expected to soon start declining, and the Latino and Asian populations are growing, mostly Christian. The muslim population of Middle Eastern descent is also growing in the USA and even more so in Canada. This will change everything too. Perhaps they will do as China to avoid Europes fate or perhaps do nothing.
What will happen? Who can say? I do see that a lot of the very wealthy whites of Europe and the USA have bought land in China and moved their families there. Perhaps they know.
An economy is only as good as the balance of its industry to its consumers. No industry, no jobs, no consumers.
I am from asia , as a nation america is still the biggest economy,the eurozone consist of a number of countries from europe ,it is unfair to compare a single country to half a continent.Anyway America as a nation of inovation will always prevail their history which includes saving western europe from
the nazi germany and saving asia from imperial japan.You either like them or you hate them but you have to accept the fact that america is a strong industrialized nation with
history in its side whenever a economic downturn accurs or any other issues.America still has the largest middleclass population in the world in terms of buying power.
Unlike china or even to a lesser extent india i doubt with their pirated technology able to match originality.Europe being ungrateful to america especially the french even the germans.The french please try to not to forget D-DAY the sacrifice made by the American soldiers.The germans please remember marshall plan thankgod the russians did not invade the whole of germany.I will end by saying history and the future is simply on United States Of America’s favour.I mean the hip hop culture , the invention of car ,plane , television and facebook i can just go on naming invention without stopping.
Some weird postings above.
Many modern innovations are not from the US.
The automobile? Either french or german invention.
The TV? A long development by many countries. The first to call it a ‘television’ was a Russian.
Both Asian and European countries have a longer history than the US, also in an economical sense. The first stock markets where in France/Belgium/Holland as early as the 1300s. Industrialization occurred first in the UK, then other Western-European countries, then the US.
Europeans are grateful to the American soldiers that died in WW2, but let’s not forget about the Russians, the British, the Canadian, etc.
And please don’t forget that the USA wouldn’t have existed without these European settlers (not that this is something to be proud of it, considering the natives, but it’s a fact). The US has only been a superpower for 70 years now, which is not that much in world history.
Finally, the US consisted as several regions (just like Europe does now) and only exists in its current-day form since 1898. It is not unthinkable that the EU will be considered one country sometime in the future. If it will, it will be one of tomorrow’s superpowers, together with the US, China, India and Russia.
Your are comparing one sovereign nation to a dozen of sovereign nations. The Europeans and false alarmists love this kind of comparison to make them feel great or insightful. Here you also forget that the EU has twice the population of US. The organization or so called union will add more countries in the future. However it will still be an organization of several sovereign countries and not a single united nation.
So if you are comparing the GDP of organizations of nations compare the EU with NAFTA, ASEAN… If you are comparing nations then talk about China, India, USA, Canada, France, Germany, Italy, Spain, Russia, Mexico, Japan, South Africa… Do not mislead people with funny statistics.
True, it is not a nation-state. However, perhaps organized trading areas like the EU are a new type of entity. It is not illegitimate just because it is not a nation-state.
Kimberly
Hi, I’m greeting from Germany and I’ve been reading this blogentry and the associated comments with great interest.
I don’t really want to get into the presented reasonings, however, the general theme which emanates from “both” sides has an old fashioned, territorial quality to it and I’m sad to see the most unhelpful put-down-methods of denigrating stereotyping.
As humans, we face greater problems which aren’t solved by comparing appendices. A big economy (of bubbles), which doesn’t exist within a self-sustaind equilibrium is nothing but a cancer. Why would anyone hail a bigger cancer, or, less polemic, a bigger bubble?
To solve the real problems, we must focus on what unites us and not what separates us. It’s easy to find things which separates us, I can look at my husband to find things which separate me from him, no need to venture out of my house not speaking of looking at other countries.
The most important challenge is to heal the growth! The economical and finanicial crisis is a perfect starting point for beginning the transition towards a sane economy, WE, THE WEST are what the others are striving towards, and if we reinvent ourselves towards a saner society the others are bound to follow.
What such a saner society would look like, well, something other than what we have now. Before we can start sharing ideas, we must create the atmosphere into which the ideas can arrive.
The will to kindness and respect, by all sides is the first step.
Have a nice day.
Hi Ava,
I agree with you completely. This economic crisis is a wakeup call asking all of us who we really want to be. Do we want to point fingers and blame others? Or do we want to accept reality and work together to create something better? I really see people falling into one of the two camps.
For more, see Waking Up From the American Dream.
Kimberly
china is the world leading world largest economy
surpassing u.s.recession started all from u.s morgage.and it’s china and india that save the world.
america will be in the bottom if there is no country call “china”. america owe more then $7000 trillion to china.so better be carefull,if china ask the money back then america will be in big trouble.
“the great depression could be back in america”.
better be carefull what you say.american.
EU is a conglomeration of countries… ridiculous.
Pro-euro,
You may have heard of technology, software and semiconductors, nanotechnologies, biotechnology, finance, medicine, hubble telescope, wireless communications….
Jojo,
Chinese premier said last week there are a “developing country”. You may want to check your numbers.
Aknowledging Ava’s sentiment – the subject of this blog is not just mileading, it is provocative – and Kimberly did get what she wanted, a debate.
However, this creates diversion and need to take a side. Truthfully there is some neat stuff that has come out of every corner of the world and we still need to account for the success of 6.5 billion human beings. Over half of them have no access to basic amenities or resources to control their future.
This kind of discussion is a digression from one core objective – it is to take what we have and spread it to those who need it.
According to a recent UN World Wealth report, as of 2000, the U.S. owned 25% of the world’s wealth with only 5.5% of its population. As this wealth is redistributed, the U.S. will continue to decline in economic size.
This article points to one of the sign-posts along the way. I agree with Ava that Americans need to recognize that being #1 economically may not be as important as being #1 ethically.
Kimberly
So many American’s have been taught that the “American Dream” can never fade away, and, it is true, the “Dream” will exist…but, this time, the economy is likely to reset at a much lower standard of living.
No-one alive today has lived in a world without cheap oil and that is what we are facing. Also, the weather patterns seem to be getting more unpredictable, which will affect food supplies and costs.
I think a world currency is also a sure thing eventually.
Agreed. See my articles Waking Up From the American Dream.
It amuses me how the US persists with this “we saved Europe” line. The Americans were part of the Allied Forces that won the second world war but the reality is that it was Russia not the US which had the greatest bearing on the outcome of world war two. Hitler’s crazy aim to invade Russia backfired and from there the war was lost for him.
As usual US came in too late to really make a significant difference.
The US is a superpower in decline. Those people being born now will see a once great nation fall to its knees, slipping down the economy list, being overtaken in commerce by Asia, and ultimately their armed forces overtaken by China.
It’s sad to see this but nothing lasts forever.
Get real americans and enjoy your last few years of supremecy.
I agree. The economic crisis of 2008, and ensuing recession, is a wake-up call. We cannot sustain an economy with debt and derivatives.
Kimberly