China is making a strategic move of huge consequence at the G-20. France and Germany not so much.
Let’s be clear: the U.S. has overspent. It is a debtor nation, dependent on the kindness of foreigners.
Somehow it believes it can still lead the world and is trying to strong-arm the rest of the G-20 into believing that stimulus must be the order of the day when the Europeans clearly want regulation.
Yes, stimulus is important, but outside of the United States and the U.K., most see this depression as one caused by Anglo-American-style laissez-faire capitalism and the need now is for more regulation.
These things don’t happen overnight, but we are certainly now witnessing the end of American hegemony.
Oh good. Now we can achieve something more than global rank. But power is rude, and scorn against so-called Anglo-American errors is just populism.
As Central Banks reign in leaky zeros and as national governments extend authority, in five or twenty years we’ll have fewer pirates and more vinegar in our institutions. What else is on the table?