When Great Britain, which is the financial ruling power of the 19th century, was drained financially during World War I, United States became a hegemon in 1945. It had a military strength that was dominant or uncomparable. It was for twenty-five years, on top of the world. During the Great Depression, United States emerged as the leader of the world economically. But it did not open its market to investments internationally and foreign commodities were not accepted into its market. It did not want to rescue other countries of the world for their debts. United States wanted to protect its finances by spending for its own. At the current financial problem when United States had debts, China recapitalized the debts of US. It became the creditor. To rescue its economy, Obama make use of the Beijing consensus where in the government uses the taxpayers money to encourage private investors to strengthen its financial system. The Obama government opened its international market and benefits from it. Then it limited the buying of commodities and conducted research for studies.
The government improved its energy sector. Through these ways, the lives of the people are given more emphasis. To what degree is the government effective in providing the needs of the people is the first priority of the government. But although the United States declined economically at the present, a counter cyclical asset, the greater the United States attain influence and power because larger economic and political power units influences are increased when international cooperation tends to break during crisis. Next reason why United States gains influence and power is its regular number of the people living in United States. And the last reason is through its political stability. It has one of the most enduring and oldest nation-states, compared to China that suffered a communist dominion, a severe famine, and a Cultural Revolution. France experienced five Constitutions since1799. So, only United States has had a political stability.
To become the next hegemon, China should try to established economic stability. Its banking system must be improved. It must try its best to create a well-patterned domestic system of its finances. It must also promote and maintain global economy. It must always rescue the countries that are in great debts. The lives of the people must be given priority. It must make the rural population at a higher level of living or it must give its people in urban and rural a comfortable life, not on its poverty level. Socially, China must increase its population, not a one child policy. The greater is the population the stronger is the force logistically. China must give emphasis also to its military strength. A weak country is easy to dominate.
Politically, China must build strong nation, with territories well-defined and well-protected. The president must enforce its law righteously. National interest must also be practiced than foreign relationships. China must develop its political stability by making its country strong against any foreign dominion. There must be no fighting about culture. Every Chinese must observe his cultural heritage. Then the country must be materially sufficient, so it can supply equally to its people the food they need. The law of the land which is the Constitution must be well-defined and in detailed. There must be one constitution only that will last for a lifetime. Geopolitical power is better if it does not ruin the financial stability of the country.
I believe Jonathan Holstag is more correct because China cannot be a new America because China cannot do all the things America did in the 1930s. Although China has $2 trillion worth of budget for payment of debts, if it will pull back its assistance because of uncertainty and the mode of payments will take for a long-term process, then how it will be a hegemon. China doesn’t have well-developed financial system domestically. So, its rural situation will remain to be poor and the whole country will be poor as long as there is no equal distribution of wealth among the people. According to Holstag, United States had a innovative and creative place that shows the dynamism of United States in the 20th century. China is not like United States because larger countries have a great influence on other countries. United States has no one – child policy. It is true, China has large number of population, but if one – child policy will continue its population after so many years will decrease. China is like new America as of today because China is afraid that it is represented in international institutions dominated by the United States. China’s real place in the world economy is not seen in its control in the IMF and World trade and to its part in the economic firmness. China can’t be America because the standard of living in China is very low compared to United States. China is still a poor country although it is believed to have a great wealth. Therefore, I could say that it is difficult for China to be a new America because Chinese economy is toward state capitalism. The model capitalism of China is different form that of the 1930’s of the United States. The whole situation of China is still on poverty line because many of its rural inhabitants are poor. America can be a new China because Obama’s government is doing the Beijing Consensus: like controlling its financial group, holding over its policies regarding buying of goods, developing the sector of energy and choosing imports of commodities and assistance. A country becomes a hegemon when it is financially powerful for world economic stabilization, when it is on top of the world militarily, when it has an old and lasting nation – states, when its population is fast increasing and a wide territory.
List of References
Sheridan, B. (2009) ‘Is China the New America.’ Newsweek (online).
James, H. & Holslag, J. (2009) ‘Is China the New America.’ Foreign Policy (online).
James, H. & Holslag, J. (2009) ‘Is China the New America or America the New China.’