International Political Economy - Doc
Added on - 21 Apr 2020
Running head: INTERNATIONAL POLITICAL ECONOMYInternational Political EconomyName of the Student:Name of the University:Author Note:
2INTERNATIONAL POLITICAL ECONOMYIntroductionThis study deals with the International policy economy. In this particular assignment,proper emphasis has been given on understanding the fact about whether comparative decline ofthe US is making it more complex for development international economic institutions (Uzzi,2014). The current segment properly explains about the decline stage in the most appropriateway. US primacy is undiminished. In addition, the share of nation of global economic output hadbeen holding steady as well as its military strength (Leamer & Storper, 2014). On the contrary,Declinism may be less the product of actual decline on comparing it with the response to rapideconomic as well as social change.The current segment explains about how far relative declineof US affect development of International Economic Institutions like World Bank andInternational Monetary Fund.These International Economic Institutions plays main role infacilitating as well as organizing the world economy. In addition, these institutions rapidlyproliferated for more than 50 years and help in regulating in almost all the aspects of the globaleconomy.The present study properly explains about Modern Liberalism and decline in US byreferring to reliable book source written by Bork and the title for the book is “Slouching towardsGomorrah: Modern Liberalism and American decline”.“Is the relative decline of the US making it more difficult to develop international economicinstitutions?”UK once celebrated for its disorderly optimism but now the country is fanatical with thedecline. The list of complaints cited by America seems never-ending where real wages arefalling as well as expansion of productivity level is down (Odell, 2014). For that, companies arenot competitive in recent globalized markets. Even the white-collar jobs are not secured. The
3INTERNATIONAL POLITICAL ECONOMYinfrastructure of the nation is collapsing at a rapid rate. Furthermore, the federal deficit is evensoaring. To add on, the health system is deteriorating. In addition, the cities are no more safe aswell as schools are failing at rapid rates (Leamer & Storper, 2014). Therefore, the gap betweenrich people as well as poor people are wideningThe President of World Bank is of the opinion that they have made a remarkable progressin reducing the number of people who live under $1.25 a single in the developing world (Beeson,2014). The real fact lies that there are still 1.2 billion who are living in poverty and stain on thecollective conscience. According to the latest forecast of World Bank, it talks about global GDPgrowth where there is a fragile recovery and inherited from the housing as well as derivativesmarket. After Inflation, the US economy is projected to grow at a rate of 2.1% in the year 2017.In the year 2014 and 2015, the US economy grew by 2.4% and 2.6%. The World Bankforecasted that by the year 2018 and 2019, US GDP will grow by 2.2% and 1.9% that will makeit a slower economy under Trump as compared to under Obama. According to World Bank, thetotal world GDP will be growing relatively weak by 2.7% for the middle class people in thedeveloping world. The World Bank reports explain that Europe as well as Asia will lead thechange by next 2 years. In addition, the euro zone is forecasted to grow at 1.7% present year. By2018, the growth will decline as US GDP grows (Benería, Berik & Floro, 2015).Both World Bank and International Monetary Fund had been the most popular economicinstitutions that reflect the economic primacy of the US during the post-war world. The IMFreports states that books as well as reports collects from here as it shed light on the debate aboutthe decline (Leigh & Blakely, 2016). There are even some of the classic declinist texts thatcatalogue the theoretical weakness of the UK economy as well as American society as a whole.
4INTERNATIONAL POLITICAL ECONOMYAddition to that, others argue regarding the US economy decline as well as presenting a far morepositive view of the economic and its outlook or forecast. Therefore, none of them grasps the realchallenging that faces US culture as it comes to terms that relates new economic as well a socialrealities (Oatley, 2015).Declinism is an idea that explains about something being basically wrong and this isabout the UK economy (O'brien & Williams, 2016). To that, it is noted that America is notengaging in findings ways where they can compete effectively in a global markets. The countryis not even providing an adequate standard of living for the population staying there. Overall,these problem or concern took place as there is decline and the possible answer reflects onaccurate economic reality. To explain in detail, British had previously earned a reputation for selfdepreciation where the relative economic condition of the country decline was properlyestablished (Leamer & Storper, 2014).The entire world is facing it difficult to adjust inreducing the macroeconomic imbalances that is one of the main causes of the current crisis(Booth & Erskine, 2016). It mainly deals with reducing the surpluses of the major surpluscountries as it reduces the deficits countries in the given ways. It include process that needsubstantial domestic economic changes where the economies as well as people are turninginward as governments are tempted for reducing the priority as it give to their external ties(Leamer & Storper, 2014).On critical analysis, it is noted that the text explain about the popularity of declinist andothers relating to modern America as it is not accurately what most declinist authors argues.Some of the authors fail to grasp the true implication of the debate about the decline (Leamer &Storper, 2014).