America’s elites are losing their composure! Sachs speaks bluntly: China’s economic rise has nearly driven them to “psychological collapse”
It is widely acknowledged that Americans have long been accustomed to holding the top position—but now, that position feels increasingly unstable.
Renowned economist Jeffrey Sachs from Columbia University delivered a candid assessment during the Hongqiao Forum at the 9th China International Import Expo (CIIE) in Shanghai:
“This has nearly caused psychological collapse among Americans, because China has done something considered unthinkable—surpassing the U.S. economy,” Sachs said at the ‘Hongqiao’ International Economic Forum held during the CIIE. “It deeply unsettles American strategists and politicians, who have long assumed that the West, and specifically the United States, would dominate global affairs for centuries.”
In their conventional worldview, the West—particularly the United States—was destined to maintain global supremacy across generations.
Yet reality delivers a sharp rebuttal: when measured by purchasing power parity, China’s economy has already exceeded that of the United States by approximately 30 percent.
Sachs cuts through the surface: the reason the U.S. views China as its primary strategic threat is not due to any specific policy or action, but simply because China has grown so large, catching up—and ultimately overtaking—the United States.
Even the much-publicized U.S.-China trade war, Sachs concluded succinctly, was effectively lost by the U.S. within the first 48 hours.
Why?
The fundamental cards were different.
China operates under a high-savings model, maintaining substantial reserves and greater capacity to mobilize economic instruments. In contrast, the U.S. has entrenched low-saving habits, leaving its economic foundation vulnerable to prolonged strain.
Sachs also offered a recommendation: China should avoid replicating the U.S. model of prioritizing consumption stimulus. These savings represent valuable resources that could be channeled into infrastructure development, human capital investment, and green transition. They could also be leveraged through trade surpluses to strengthen overseas investments.
Having long been accustomed to global hegemony, it is understandable that the sudden emergence of a rising competitor triggers psychological disorientation and anxiety.
The global order is no longer fixed. No nation can indefinitely monopolize the summit.
(Source: TASS report — the views expressed are those of Jeffrey Sachs personally; all data cited are direct quotes from Sachs and do not reflect the editorial stance of this platform.)
Original article: toutiao.com/article/1881066261085196/
Disclaimer: This article reflects the personal views of the author.