For many years, USA had been acting like the world’s de facto protector and governor. It uses a two-pronged military cum financial hegemony to hold the world hostage. During the days of Gorbachev in th 1980s, perestroika (Russian: перестро́йка; IPA: [pʲɪrʲɪˈstrojkə] brought Russia out of the Cold War and into “acceptance” by the western world. Until then, Russia was the military counter-balance against US’s “military interests”. After perestroika, USA gained greater military omniscience with the melting of the Cold War.
On the financial front, there no match against the US greenback and financial clout through the banking institutions, at least not until now. USA is now bankrupt while poor Communist China steadily crept into the international scene as the new financial and military power. The stage is set to change. The balance of power has surely tilted.
The effects are beginning to be felt. America knows it. But having piled up huge debts and the greenback losing its “reserve” status soon, America is scrambling to re-assert itself as if things were the status quo. It is not. American foreign policies are complete chaos, especially in the Middle East and Europe. Whether this is done deliberately or through sheer White House incompetence is anyone’s guess.
The military is also in disarray with hundreds of top military commanders being removed from duties in recent times. Chuck Hagel, the Secretary of Defence threw in his towel in November 2014. News just surfaced that US lost or misplaced $500 million worth of military hardware given to Yemen. Reports suggested that the arms are now in al Qaeda hands. Similar stories are repeated in Iraq and Syria. Arms landed in the hands of the “terrorists”. What is happening? Could incompetence reach such a pathetic state? There are too many questions left to be answered.
The Emporer-with-no-clothes still insisted on having his way. Business Insider reports:
America says it welcomes China’s ascent to great-power status, so long as the Chinese respect international norms and play a proper part in the multilateral system.
China suspects that, in practice, America tries to hem it in whenever it does anything on the world stage. In the case of the Asian Infrastructure Investment Bank (AIIB), America seems to be confirming China’s darkest fears: it has adopted a policy of containment that is wrong in principle and has failed in practice.
Flush with the world’s largest foreign-exchange reserves, China plans a new bank to help match Asia’s vast savings with its even vaster need for new bridges, roads and other necessities of development. America dislikes the idea because it thinks the bank will not abide by high standards of creditworthiness and transparency; it also fears the institution will be a vehicle for Chinese influence.
It is hard to envisage what the Chinese are now thinking, or are they sneering or laughing. The debtor telling the creditor to behave! The days of American glory are numbered. In such a scenario, it makes pure mockery for US trying to get China to agree to its terms.
Pridegoeth before destruction, andan haughty spirit before a fall.