Can the US continue to rule the World Economy? Jayati Ghosh

Historically, international capitalism has tended to thrive more when one clear power has established its hegemony over the world economy. There have been at least two major phases when this was indisputably true: the period of the Gold Standard in the late 19th and early 20th centuries, when Britain was the economic superpower; and the two decades after the Second World War in the mid-20th century of the Bretton Woods-dollar standard, when the United States ruled the roost. In both of these periods, the ability of the major power to control the broad pattern of international trade and capital flows…