The New Economic Order

1. USA is a state insulated by sea and not vulnerable to conventional physical assaults. In pursuance of global domination, it has developed a very strong Naval Arm to project its military force anywhere in the world. This is not just Bush Doctrine, but also amply demonstrated in the past beginning WW II. Just take a look at the US Naval Doctrine, the issues of Missile Gap and Bomber Gap, Vietnam etc. US is a neo expansionist and neo imperial power.

2. USA has a strategic memory of exaggerated threat perception. If they have none, they create one just like the monster of Al Qaeda and not so capable and over projected Saddam Hussein. Their intelligence apparatus is efficient at doing this to legitimise interventions.

3. As early as 1945-48, USA had already drawn plans to dominate the world both economically and militarily. Breton Woods was to form the Economic Strategy while Containment manifesting in NATO, CENTO and SEATO, Korean War and Vietnam was the Military chapter. China first reacted through cooperation with India (occupying Tibet and allowing India to occupy Kashmir) and later extending influence to North Korea, Vietnam and Malaysia. Like any sovereign country, China had the right to react to the US containment inasmuch as USA did not have it to extend its power beyond its boundaries. If US intervention can be considered legitimate than so must China’s reaction.

My opinion is that the Breton Woods Order is in its last rites, and out of it will morph a new economic order dominated by the HEARTLAND (China, Russia, Malaysia, Indonesia, Iran, Pakistan and India). This new block is the most populous, technologically equally advanced, biggest consumer market of the world and with the capacity to sustain itself economically. Europe and Middle East will have to engage this block in their own interests. It will also be the strongest from a military point of view, though no physical conflicts are seen due to nuclear peace. The conflict therefore would shift to the periphery like Afghanistan, Pakistan, Myanmar, Iraq and ME. This is the area where USA-Europe will contest their proxy conflicts with the emerging order. Civil Nuclear Deal with India may delay, but will not prevent the inevitable.

The next century belongs to Asia, dominated by China.