Trump holds the idea of ​​”American exceptional” undermining Washington’s global position

Today, the United States is paying a growing price for its feeling of dominance over the world, and it may thus drifting little by little towards slope and undermining its global position, while its leadership during the era of President Donald Trump continues to adhere to the idea of ​​”American exceptional” as if it was an absolute fact that is not changeable. But history confirms that the exception does not last, and that adhering to hegemony without accurate reading of the international and economic reality may accelerate the end of this era.

Before the Trump administration came, the United States represented a unique global model in the economy, politics and innovation, as it was built over strong pillars, such as economic openness, free trade, and the independence of financial institutions, especially the Federal Reserve (Central Bank), which has decided on monetary policies away from the effects of short -term policy.

The American markets were confident, supported by unprecedented liquidity, and a strong infrastructure in the markets of bonds and stocks, as well as its strong currency (the dollar), which has always been a safe store of value.

This superiority reached its peak in the 1990s, when the American economy witnessed rapid growth and unprecedented technical innovation, drawing investors from around the world, where the United States was inspiring young entrepreneurs, attracting capital, and constitutes a daily indication of the Asian markets that were following the movements of “Wall Street” as if they were local events.

Return features

But in recent decades, the features of retreat have begun to appear gradually. According to the “Economist” database, the American economy achieved 2.1% growth, compared to 1.5% in Europe. Although India and China achieve higher growth rates (7.8% and 5.2%, respectively), the gap in individual income is still very large, as the per capita GDP in the United States is about 85 thousand dollars, compared to 43 thousand in Europe, 13 thousand in China, and only 2700 dollars in India, according to the World Bank data.

This performance contributed to enhancing the perception of the United States from the developed countries of the world, that is, America was, in a way, in a sustainable way in almost most areas than any other country. The United States also led the world through a stage of economic and technological growth that is not comparable to any other period in contemporary history, as the first was undisputed in most economic, military and technological fields.

However, the numerical superiority in the output and income does not guarantee sustainability, especially if this sustainability is accompanied by a feeling of continuous or exceptional superiority.

Geopolitical changes

Although the United States played a pivotal role in leading global economic growth, and was at the forefront of innovation and technological and military progress, the idea of ​​”American exceptional” – that is, believing that it is “always better than everyone” – carries with it the seeds of retreat, as the experiences of previous empires, such as British, Roman and Mongolian, have taught us, all of which have reached the height of power before it retreated by the act of arrogance and changes Geopolitical.

Ultimately, the arrogance, pride and exceptional feeling of the world will end, and other competitors will appear to replace America, as what happened with the empires that preceded it. As the proverb says: “The Stone Age did not end because the world has run out of stones,” as there are new updates and developments that overwhelm the old.

History affirms that excessive pride precedes the fall, and as the city of Venice – which was the World Trade Center in the thirteenth and fourteenth centuries – collapsed as a result of military conflicts and economic changes, the United States is not safe from a similar fate, albeit differently and more complicated.

Unrealistic feeling

It is true that the American economy is still strong until now, but the danger lies in the slow and continuous decline resulting from decisions, perhaps wrong, based on an extraordinary feeling of exceptional. During the Trump era, this feeling emerged clearly through the policy of “America first and made it great again”, which the United States isolated from its allies and partners, undermined the reputation of its institutions, and raised doubts of international investors.

Incels, and the policy of “America first” contradict the dynamics of openness that led to the development of the United States, and the flow of the world’s talents to the “Silicon Valley” to advance the technological boom, as it was the best place in the world to learn, work and prosper.

Change

These policies have contributed to changing the view of the United States, not only from abroad, but even from the inside, as the number of Americans affected by new technology and globalization is increasing. America was supposed to be an attractive point of global talents, as was the case in “Silicon Valley”, but today, we are witnessing a change in the direction: “While America retires the world, the world may start isolating America.”

The signs of this change began to appear, as the dollar’s ​​share of world cash reserves decreased from 72% in 2000 to 58% last year. The percentage of US exports of global trade decreased from 15% in 1970 to only 9% in 2019, while China’s share increased to 17%.

But the United States is still one of the largest cross -border services in several sectors such as law, accounting, auditing, financial technology, entertainment, architecture, advertising, education, and consulting. These exports outperform the trade of goods in terms of growth and added value, but the imposition of customs restrictions and duties on these sectors threatens their global position.

Increased concerns

Fears were deepened under Trump’s volatile policies, which targeted the independence of the “federal reserve”, attacked the press, registered regulatory laws, created unstable and unpredictable political and economic environment. All of these policies have undermined the confidence of investors, who began to hedge the purchase of gold instead of keeping the dollar, indicating a decline in confidence in the American currency as a safe haven.

Fears are also increasing regarding the high American public debt, which is expected to be enlarged due to unbeatable spending policies, especially with regard to major investments in artificial intelligence. This debt may lead to high asset prices, which attracts foreign investors, but at the same time increases the fragility of the markets against possible shocks.

With the escalation of these dynamics, the “American exceptional” becomes closer to a legend than a fact, similar to the prior belief of American “golf” fans before the last “Rider Cup”, when they thought that their team would easily win only because most of the best players were American, but the result was opposite, as the European team clearly outperformed, to demonstrate that excessive confidence does not make victories. About South China Morning Post

Adaptation and openness

The United States is on the path of gradual erosion of its global position, unless it realizes that its exception is no longer measured by pride and domination, but rather the ability to adapt, openness, and wise leadership.

“America First” policy The United States isolated its allies and partners, undermined the reputation of its institutions and raised doubts of international investors.