The Future of U.S.-China Balance of Power in a Global Economy (Policy Paper)

As United States international hegemony wanes, China is looking to fill the void through economic policy. Increased foreign direct investment in Africa and the Middle East, dominating the international trade landscape, and infiltrating foreign markets through international infrastructure projects have all contributed to China’s gradual growth in political and economic dominance. Now, with the proposition and celebration of China’s “One Belt, One Road” initiative that will essentially use modern technology to restore the ancient trade route known as the Silk Road, the country is set to solidify its place of world hegemony for some time to come.

The danger for the future of America’s position at the international table is exacerbated by criticisms of the International Monetary Fund and the World Trade Organization as well as America’s opportunity to increase foreign direct investment and develop policies that welcome global economic cooperation. How can the United States revamp its trade policies and international commerce agenda to maintain a balance of power and counter the emergence of a China-based global economy? The U.S. should embrace the global economy, encourage an increase in foreign direct investment, and adopt trade policies with the purpose of encouraging mutually beneficial trade agreements that present…