why always USA?

Introduction

As we already know that United States of America is a super power country, with the strong economic, military and other aspects that required becoming a super power country. How did they start this hegemony power? One big question that should be answer, and in this past 2 years, the hegemony economy of United States of America was being unrivaled by China. Can the hegemonic power fall? I’ve always maintained that the United States’ rule as supreme superpower would come to an end economically, rather than militarily. When we consider the world’s history, it’s always notable that the time frames of any superpower, or subsequent world ruler, is becoming shorter and shorter. Initially, the Egyptians, Romans and Greeks had their time, and were the benchmark in all that was progressive and successful for thousands of years. More recently, the Spanish, British and a number of other European nations filled this gap, although only for a couple of hundred years. The British were more successful than the others due to their willingness to wage war when they wanted something, often culminating in tensions on the European mainland even though the dispute raged in other parts of the world.

One of the reasons was the strategic military position Britain had in relation to the rest of Europe, being more impenetrable due to them being an island; something even the modern Germans learnt on the hard way. When political pressure in favour of de-colonization started to emerge in the 20^th century, the Britt’s had the brains to render their conquered lands back to the locals... on their terms. Sure, they always had a war or military incident raging somewhere in the world, but that is a natural appearance considering the amount of ground that had to be defended. The Americans saw this, and used the same principle by applying economics. In contrast to the British and Romans, their rule was but for a couple of decades.

Why always United States of America if we want to compare the economic power from each state in the world? Maybe the history can tell everything, from the Christopher Colombus era until now. From the time that he found the new world until that new world becomes the supreme ruler in the world. How about Japan, how about Germany, which both of them are the big industrial states, and also they are, developed countries. And this is the ironic part of the history; both of them are the allies of the supreme ruler United States of America.

Should we as Indonesian people apply the same economy system that America has already applied? I don’t think so. The downturn of American economy is ongoing. Moreover Indonesia is a developing country; we are still being “raped” by big states like them. Another thing is Indonesia suitable if we use Keynesianism? Or economic liberal like USA did. Imaginaries economy like United State of America did, with the shares and else.

Indonesia supposes to be strong in order to face the globalization; we must have the blue print on order to make it as the base to make Indonesia a prosperous country. But sadly we don’t have such a blue print, because UUD 1945 and Pancasila, both of them are not sufficient to bring our lovely country Indonesia to become hegemony.

History

In this section, I will elaborate more about the United States of America after World War II history. These are about the building system, which is happened in 40’s until 50’s, growth period, from circa 1950-1973, crisis period, 1973-1980, globalization, and the last the strengthen the link of globalization.

1.     Building System

 If we talk about United States of America in economic sector, as I said before, we will see USA as the embryo, because believe it or not United States of America has made the world economic order. The United States of America seemed very clever in reading the situation of the world after the World War II. Before World War II, the economic system of United States of America was closed economic system. They did not want to go out before they strengthen the economic power.

After the World War II, many countries fell down because the drawbacks of the war. They just like had serious wounds that very hard to heal. But the United States of America came and gave the aids to the actors of World War II. But before go to the aids, United States of America and United Kingdom made one great step in order to make the economics of USA go worldwide or become the order of economic world.

The spirit of liberalism and also mercantilism pushed United States of America to increase the economic transaction based on the same access condition in the market. The conference was held in Bretton Woods, New Hampshire. The conference produced the International Monetary Fund (IMF), World Bank, and General agreement on Tariffs and Trade. The aims of the Bretten Woods conference were first, to decrease the tariff and other barriers in international trade, and the second to normalize and create the economic conflict.

The general agreement on tariff and trade was the embryo of the WTO (World Trade Organization). It established in January 1 1995 through the Uruguay Round. The WTO was established with the long negotiation, and the negotiation took until seven years.

In this part, the building system, the United States of America also applied the economic system called Keynesianism. What is Keynesianism? It is an economic theory that John Maynard Keynes had created. Keynesianism is a mixed economic system, which is the private and public sector have a important role in doing the economic. The aims were to accelerating public works programs, easing credit, and reducing taxes. In 1969, the Republican President Richard Nixon proclaimed that “I am Keynesianism.”

Actually there are so many program that USA planned. It is clear that the United States of America really want to concur the world. It was proved in the New Frontier of America.

2.     Growth Period

In the growth period the United States of America tried to go outside/ abroad. They helped the victim of the World War II. One easy example is the Marshall Plan. Before there was a European Union, there was a steel and coal community in Europe. Marshall Plan came from the State Secretary of United States of America named George Marshall.

The political effects of the Marshall Plan may have been just as important as the economic ones. Marshall Plan aid allowed the nations of Western Europe to relax austerity measures and rationing, reducing discontent and bringing political stability. The communist influence on Western Europe was greatly reduced, and throughout the region communist parties faded in popularity in the years after the Marshall Plan. The trade relations fostered by the Marshall Plan helped forge the North Atlantic alliance that would persist throughout the Cold War. At the same time, the nonparticipation of the states of Eastern Europe was one of the first clear signs that the continent was now divided.

The European countries believed that the integrity in Europe, between the European states was very important in order to help each other because of the similar of the identity. Like the constructivism itself, many organizations establish because of the similarity of the identity. Back to the European Union, the Marshall Plan also helped the European community from the steel and coal community, changed to the European Union. The Marshall Plan linked into the Bretten Wood System, also mandated free trade throughout the region.

3.     Crisis Period

During the October 1973 Arab and Israel war, the Arab members of the Organization of Petroleum Exporting Countries (OPEC) announced an embargo against the United States in response to the United States of America decision to resupply the Israeli military during the war. OPEC members also extended the embargo to other countries that supported Israel. The embargo both banned petroleum exports to the targeted nations and introduced cuts in oil production. Several years of negotiations between oil producing nations and oil companies had already destabilized a decades-old system of oil pricing, and thus the OPEC embargo was particularly effective.

Because of the war, the price of oil per barrel could be double or quadruple. The need of the oil for the America’s alliances became really bad. They could not afford the higher price and because that, many European states and also Japan as the America’s alliances triggered the rift within the Atlantic alliances. To complicate the situation, OPEC had linked an end to the embargo to successful U.S. efforts to create peace in the Middle East.   

4.     Globalizations

In this globalization, the United States of America did a liberalization of the trade. In this era also, the World Trade Organization came up. Not only that, there were also the global associations or regional associations which were focusing in economic sector. For examples are the NAFTA, SAFTA, GCC etc.

In this era, in my opinion United States of America supposed to be aware of the others, especially in economic sector. The new rivals will arise to become another super power in economic sector. The raise of China and others like BRICS (Brazil, Russia, India, China, and South Africa).

5.     Strengthen the Link of Globalization

United States of America should strengthen their link of Globalization. Believe it or not, the super power will fall, and the new order will rise up. We see right now, China dominate the economic sector, and the United States of America looked like a fever man who try to get up again.

Analysis

The wind no longer blows to the west. It means that the United States of America become weaker and weaker. If we see from the military, or the other side except economic, the United States of America seems very strong, and no doubt, many people believe that the US still has their legitimacy, they are still super power. But in economic sector, the rise of the China, and other like BRICS could knock down the economy of America.

China has so called Dragon Machiavellian which means that China will strengthen the military power in order to kick the US out from Pacific. And also Beijing Consensus which is argued by Joshua Ramo that, China will offer the countries in Asia, Africa, Latin America economy and infrastructure aids with the political support in return. Ramo argues that China offers hope to developing countries after the collapse of the Washington consensus. It provides a more equitable paradigm of development that countries from Malaysia to Korea are following.

Actually the United States of America should be aware also in military power. Like I said before, China will strengthen their military power in order to kick America out from pacific. Kenneth Waltz argued that “when a state has a good economic gravity, then the military of the country itself will be increase and become much stronger.”

Is this the beginning of the fallen king of the world, the king will be fallen by the new power? Many expertises like John J Merzheimer believed that the bipolar will be much more stable than the multipolar or unipolar. Because the other developing countries will try to bandwagoning the super power states, let’s say United States of America and China. The result will be zero sum game like what defensive realism said.  The president of United States of America Barack Obama is a clever president. His policy called “wait and see” policy is maybe a good way to survive in order to keep his legitimacy.

Conclusion

From the title “why always USA” actually shows the question of many people that don’t understand why we always take a look to united States of America, and not other states or maybe our own state. The United States of America had started a great step in order to make the economy order in the world. Their efforts were successful and those are the prove that the geniuses of the U.S expertise. 

If I see the problem of the European Union about the crisis within the organization, and if we also take a look in the history about Marshall Plan, in the fact, where is the USA? Why USA did not help in order to solve the crisis within the EU? There are so many question that we can ask. Is that because the economy condition in United States of America is falling, that’s why they don’t help EU, or maybe the crisis was made by USA in order to make a situation. Because I believe, conflict, crisis can be set up by someone who has the power. And now, who has the power?

If we see the condition of the world right now, we see USA and China are the threatening each other, but I believe that they have a “bad affair” behind the fact, because they have a scenario in order to keep their legitimacy or to keep their power.