Essay On Economic Predominance

Economic predominance is a feature of antiquity that rose to prominence particularly with the introduction of monetary currency by dominant world economies. Economic vibrancy is sustained by three primary factors: the stability of a currency system, competitiveness, and openness of the global market. However, the system of economic predominance is susceptible to particular shocks especially during times of civil strives that destabilize economies as dominant players seek to dictate international affairs thus spending disproportionately on warfare. A hegemon ought to predominate a leading sector of an economy to work. The world has previously seen three notable hegemons, namely the Dutch, British, and the United States. The U.S. rose to predominate

The accounts of British and U.S. economic predominance are cases in point. The two former hegemons have had substantial roles in promoting global economic growth during their years of prominence, with the latter continuing its dominance. The rise of the United States as an economic hegemony followed the decline of the British domination and the Great Depression after the Second World War. The U.S. mainly drew on its increased production capacity and advancement in research to achieve economic dominance. The U.S. was committed to restoring competiveness, stability, and openness primarily by reviving the European and Japanese economies through currency devaluation to enhance exportation from these economies. Lately, however, it appears that the U.S. is slowly losing its hegemonic power. The country has been striving to maintain its position through measures such as withdrawing from the European recovery programs, assigning the role to international bodies such as the World Trade Organization, the International Monetary Fund, and the World Bank. Nonetheless, the country’s economic predominance continues to decline while China’s influence seems to rise