Seven signs America is collapsing

Geoeconomics portends when there is going to be a collapse be it slow and prolonged or fast and sudden. In the case of USA the expected fall is in the former region. Here are seven signs of America’s slow decline beginning this century.

1. Over-heating of the economy that occurred since 2000 where production capacity within domestic economy has reached its limits in meeting up with the demand from within forcing USA to resort to imports more and cheaply too from tiger countries including China & South Korea.

2. Fiat currency in the form of US Dollar note has been printed to finance not only the unsustainable import volume but to support massive unproductive expenditure in the military production area where the cost of arms is almost five times more than the ones manufactured by countries outside. Current level of military spending amounts to USD 715 billion annually.  

3 in order to project military hegemony USA adopted the policy of ‘forever war’ which as a parallel cause led to the decline of mighty Roman Empire. Ostensibly, this expenditure was always meant to promote the military industrial complex within America and not for imports of quality armaments from abroad.

4. This development ensured that vast financial outlay was funnelled into supra- rich corporates & individuals and made them the new power base who are willingly contribute campaign money for the uniparty (both Republicans & Democrats) candidates who once elected be loyal to the establishment. On the fillip side it led to the constant collapse of the American Middle Class who earlier bore the brunt in both the World Wars and now dismissively left in the lurch. Consequently, ‘the American Spirit’ that made USA powerful in the first place vanished into thin air.

5. Debt wagon began to roll. Instead of financing growth via savings & investment the bloating of USA was carried through public debt most of it corralled into short term treasury bills. Growing debt burden requires that the country must print more money to pay for interest & maturities. Sadly, the interest payment due annually is about USD 763 Billion.

6. Hubris is created projecting pride & confidence that USA is an indispensable nation tasked to maintain democracy and the rule of law throughout the globe. To sustain this hubris another concept was parlayed: exceptionalism. The bottom line is America should and must remain the lead nation to enforce Rules Based International Order (RBIO) where she has the privilege of dictating the rules as well as violating the ones already set. Put it the other way ‘America rules and the globe is ruled '.

7. Finally, all these six signs made a new persona in USA. An arrogant bigot who is obstinately and/or unreasonably attached to a belief of self aggrandization that is ostensibly prejudiced against or antagonistic towards the rest of the globe. To add to this arrogance, America tends to ignore the changes that are taking place in geoeconomics arena where Russia together with China and the rest of the globe is engaged in ushering a multi polarity slowly and steadily.

 

Cheers!

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail: cosmicgems@gmail.com

Blog:   Business Strategist