Why U.S. has lost global standing

Pars Today – The Wall Street Journal reported that over the first 25 years of the 21st century, the United States has significantly lost its global position due to misgovernance, costly wars, and domestic crises.

In an analytical report, the American newspaper examined the first 25 years of the 21st century and described this period as a time of gradual decline in U.S. national power. According to the report, at the end of the 20th century, the U.S. was at the peak of its economic, military, and political power: citizens’ incomes were rising, the federal government ran consecutive budget surpluses, and bipartisan cooperation enabled major policy decisions. However, with the start of the 21st century, the country’s trajectory began to change.

One turning point in this shift was the bipartisan support (Democrats and Republicans) for China’s accession to the World Trade Organization (WTO)—a move that opened the door to a massive influx of cheap goods and led to the loss of a large portion of U.S. manufacturing jobs. This trend lowered the living standards for many workers and fueled growing social discontent.

The September 11, 2001 attacks also reshaped U.S. foreign policy. The George W. Bush administration launched long wars in Afghanistan and Iraq, which diverted attention from China’s rapid rise. These conflicts, in addition to their heavy costs, weakened domestic support for international engagement.

Meanwhile, America’s financial situation deteriorated rapidly. Predicted large budget surpluses in the early 2000s never materialized, and tax cuts combined with rising expenditures caused the national debt to surge.

Finally, the mismanagement of the COVID-19 pandemic further eroded public trust in institutions. The Wall Street Journal also highlighted issues such as the housing crisis, an aging population, pressures on social programs, weakened trust among allies, and China’s growing military strength. The report emphasizes that, in light of these mounting pressures, U.S. political leaders must courageously address fundamental problems to end this 25-year period of decline and begin a path toward recovery.