The US economist Joseph Stiglitz (79) addressed warning words to his country’s politicians: “If the USA wants to start a new cold war, they should better understand what is necessary to win it.” But that is currently not the case case, criticizes the Nobel Prize winner.
Once again, the United States had entered a struggle for global dominance. Both Republicans and Democrats have their eyes on not just Russia, but China for a long time.
Regarding China, “the signs are pointing to a storm,” emphasizes Stiglitz on “Project Syndicate” – an online provider of expert commentary and analysis. “There is a bipartisan consensus in Washington that China could pose a strategic threat and that the least the US should do to mitigate the risk is to stop supporting Chinese economic growth.”
Even preventive measures are justified, “even if it means violating the rules of the World Trade Organization, which the United States itself has helped to shape and promote so much.” This front in the new Cold War was opened long before Russia invaded Ukraine.”
Senior US officials warn the war in Ukraine must not distract from “the real long-term threat: China.”
Joseph Stiglitz sees China’s economic growth continuing to rise: “Of course America doesn’t want to be dethroned. But it is simply inevitable that China will outperform the US economically, regardless of which official indicator one uses. Not only does the country have a population four times the size of the US, its economy has been growing three times faster for many years (and overtook the US in terms of purchasing power parity as early as 2015).”
What the US now lacks is a war plan: “A country at ‘war’ needs a strategy, and the US cannot win a new great power struggle alone; they need friends.” But they were increasingly lacking. The glorious times after the end of the Cold War are over. “For two decades after the fall of the Iron Curtain, the United States was clearly number one. But then came disastrously misguided wars in the Middle East, the 2008 financial crash, rising inequality, the opioid epidemic (severe rise in drug addiction, note), and other crises that seemed to challenge the superiority of the American economic model.”
The growing social and political tensions also weakened the United States and its powers of persuasion.
“The natural allies are Europe and the other developed democracies in the world.” Alienation has only set in here in recent years. The “reliability of the USA as a partner was called into question. In addition, the US must also win the hearts and minds of billions of people in the developing and emerging world – not only to have numbers on its side, but also to secure access to vital resources.”