The current economic crisis in the US has people around the world watching what will transpire in the near term. Economies are intricately linked together, and a downward spiral in America will similarly affect countries in Asia, Europe, and elsewhere. But some economic experts and policy makers are considering the long term repercussions of the massive debt and bank bailouts, and they believe that America's superpower status may be rescinded . Superpower status relies on several important factors, namely cultural, economic, intellectual, political, and technological dominance. America will need to cut funding in much of these areas to resolve the problems it now faces. In addition, there is the idea that other countries look to a superpower and admire, if not emulate , the systems there. Leaders around the world have already begun to question those ideas, particularly the American mix of capitalism, democracy, and a hands-off approach by the government with regards to financial systems, all of which has led to the current predicament .
Countries will be less likely to invest in America, and may look elsewhere to put their money. A dearth in foreign investment will add to the current woes in the US. What's more, a poll among Europeans indicated that many believe China has already or will shortly replace the US as the world's superpower. And although this hasn't occurred yet, it does signal that global changes have begun. It may even lead to an acceleration of these changes.
No one knows exactly what will happen once the situation in the US has been resolved. But many politicians and experts have begun pondering changes which were previously unimaginable to the status quo .
