Pivotal moments in history result from crises. Great Britain came out of World War 1 exhausted and maimed. It had lost its status as the world's hegemonic power. The United States, with its massive industries, great institutions unmolested by socialists and illiberals as well as a large and industrious population, was the China of its time.
After World War 2, Europe, Japan and much of Asia lay in ruins. The United States was virtually untouched by the physical ravages of war. It became the only economic power in the world and one of two great military giants.
It is now apparent that when it's all said and done, the United States, like Britain after WW 1, will limp out of the current massive global recession, which it precipitated. The US economic hegemony will be replaced by China's. In this new world order, the US dollar becomes a secondary currency like the Japanese yen (or it could even play a lesser role in the world economy like the Australian dollar and the South Korean won). The Chinese Renminbi will be the currency of global economic hegemony.
In the immortal words of Nelson Muntz, "ha ha!"
-- Bian-lian Huang, associate editor, the Fairbank Report
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