If Europe will suffer, that is nothing to the material and existential crisis that will be faced by the United States. It is almost completely unprepared for a life where it is not globally dominant. Under the Bush administration it sought to redefine itself as the world’s sole superpower, able to further its interests through unilateralism and shun the need for alliances: in other words, far from recognizing its relative decline and the prospect of a diminution in its power, it drew precisely the opposite conclusion and became intoxicated with the idea that US power could be further expanded, that America was in the ascendancy, that the world in the twenty-first century could be remade in the country’s image. The dominant ideological force during the Bush era was neo-conservatism, which was predicated on the belief that the United States could and should assert itself in a new way. In the wake of 9/11 Washington was in thrall to a debate about empires and whether the United States was now an imperial power and what that might mean. The Bush administration represented the most extreme expression so far of an aggressive, assertive and expansionist America, but even after it was widely seen to have failed as a result of the Iraq debacle, there were not many in the United States who drew the conclusion that the country was in longer-term decline, that far from it being on the eve of a new global dominance, its power had, in fact, already peaked; on the contrary, there was a widespread perception that the United States simply needed to find a less confrontational and more consensual way of exercising its global leadership. Not even the advances made by China in East Asia were interpreted as the harbinger of a major shift in global power.
The heart-searching that accompanied the 2007- 8 primary and presidential campaign around Barack Obama’s candidature did not, at least until the financial meltdown just before the election, reach the conclusion that the United States would have to learn to live with decline. Even the precipitous decline in the value of the dollar in 2006-7 did not provoke fear of American decline, though a small minority of observers recognized that in the longer term the position of the dollar might come under threat. The United States thus remained largely blind to what the future might hold, still basking in the glory of its past and its present, and preferring to believe that it would continue in the future. Britain displayed a similar ignorance — and denial — about its own decline after 1918, constantly seeking to hold on to what it had gained, and only letting go when it could see no alternative. Indeed it only began to show an underlying recognition of its own decline in the 1950s, when it became obvious it would lose its colonies. The turning point in the United States may well prove to have been the financial meltdown in September 2008, with the near collapse of the financial system and the demise of neo-liberalism. The US National Intelligence Council report in November 2008 represented a 180-degree shift compared with its previous report just four years earlier in 2004. While the latter predicted continuing American global dominance, ‘positing that most major powers have forsaken the idea of balancing the US’, the new one anticipated American decline, the emergence of multipolarity, and a world in which the US would increasingly be obliged to share power with China and India. It declared: ‘By 2025, the US will find itself as one of a number of important actors on the world stage, albeit still the most powerful one.’ [1332] The task facing Barack Obama’s presidency is far from enviable. The worldwide euphoria that greeted his election sits uneasily with what appears to be the most difficult task that has confronted any US president over the last century: managing long-term decline in an immediate context of the worst recession since 1945 and a commitment to fighting two wars. Encouragingly, Obama’s election indicates that the US is capable of opting for an imaginative and benign response to its travails. But these are very early days yet: we are only at the beginning of a protracted process with many acts to follow over several decades, if not more. The American Right is powerful and entrenched, with deep well-springs of support. The biggest danger facing the world is that the United States will at some point adopt an aggressive stance that treats China as the enemy and seeks to isolate it. A relatively benign example of this was the proposal of the Republican presidential candidate Senator John McCain for a ‘league of democracies’, designed to exclude China and Russia (which he also wanted to expel from the G8) and thereby create a new global division. [1333] The longer-term fear must be that the US engages China in military competition and an arms race in something akin to a rerun of the Cold War.
The fact that China derives from utterly different civilizational and historical roots to those of the West, and is possessed of quite different geographical coordinates, will greatly accentuate the Western sense of loss, disorientation and malaise. It was one thing for Britain to have been confronted with the United States — given the obvious affinities and commonalities that they enjoyed — as its rival and successor as the world’s dominant power, but it is an entirely different matter for the United States to be faced with China — with whom it has nothing in common in either civilizational or political terms — as its usurper and ultimate replacement. For the United States, the shock of no longer having the world to itself — what has amounted to a proprietorial right to determine what happens on all major global questions — will be profound. With the rise of China, Western universalism will cease to be universal — and its values and outlook will become steadily less influential. The emergence of China as a global power in effect relativizes everything. The West is habituated to the idea that the world is its world, the international community its community, the international institutions its institutions, the world currency — namely the dollar — its currency, and the world’s language — namely English — its language. The assumption has been that the adjective ‘Western’ naturally and implicitly belongs in front of each important noun. That will no longer be the case. The West will progressively discover, to its acute discomfort, that the world is no longer Western. Furthermore, it will increasingly find itself in the same position as the rest of the world was during the West’s long era of supremacy, namely being obliged to learn from and live on the terms of the West. For the first time, a declining West will be required to engage with other cultures and countries and learn from their strengths. The United States is entering a protracted period of economic, political and military trauma. It finds itself on the eve of a psychological, emotional and existential crisis. Its medium-term reaction is unlikely to be pretty: the world must hope it is not too ugly.
12. Concluding Remarks: The Eight Differences that Define China