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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?


To: SouthFloridaGuy who wrote (27338)4/12/2005 12:09:28 PM
From: mishedlo  Read Replies (2) | Respond to of 116555
 
India does not have infrastructure or manufacturing.
That will take a long long time to develop.

Mish



To: SouthFloridaGuy who wrote (27338)4/12/2005 12:50:04 PM
From: John Vosilla  Read Replies (1) | Respond to of 116555
 
The European Dream
The new Europe has its own cultural vision -- and it may be better than ours
—By Jeremy Rifkin, The European Dream
September / October 2004 Issue


utne.com

The set of beliefs we call the American Dream underlies one of history's great success stories, an unbroken cultural ascent lasting more than 200 years. But how well are we doing today? In this selection from his provocative new book, social thinker Jeremy Rifkin argues that the American Dream has turned into a liability that has us clinging to an outmoded past. Meanwhile, a different vision of life that's now emerg-ing from Europe could be the world's best hope for negotiating its shared global future. -- The Editors

What really separates America from all earlier political experiments is the unbounded hope and enthusiasm, the optimism that is so thick at times it can bowl you over. This is a land dedicated to possibilities, a place where constant improvement is the only meaningful compass and economic progress is regarded to be as certain as the rising sun. We are a people who threw off the yoke of tyranny and vowed never to be ruled by arbitrary elites of any kind. We eschew class distinctions and the hereditary transmission of status, embrace the democratic spirit, and believe that everyone should be judged solely on merit.

Americans have long been aware of our special circumstance. We think of America as a refuge for every human being who has ever dreamed of a better life and been willing to risk his or her own to come here and start over.

That's why it saddens me to say that America is no longer a great country. Yes, it's still the most powerful economy in the world, with a military presence unmatched in all of history. But to be a great country, it is necessary to be a good country. It is true that people everywhere enjoy American cultural forms and consumer goods. America is even envied, but it is no longer admired as it once was. The American Dream, once so coveted, has increasingly become an object of derision. Our way of life no longer inspires; rather, it is now looked on as outmoded and, worse yet, as something to fear, or abhor.

Stripped to its bare essentials, the American Dream offers everyone a fair shot at prosperity if they're willing to work hard and cultivate self-reliance. But fulfillment of the dream is becoming more elusive. For Americans who have made every effort to succeed, only to be pulled down over and over again by a market economy and a society weighted against them, the dream can feel like a cruel hoax, a myth without substance. There may still be opportunity for both the native-born and newcomers, but the unfettered upward mobility that defined American life up until the early 1970s no longer exists. As the gap between rich and poor has widened, the sons and daughters of wealthier Americans have come to feel entitled to happiness and are less willing to work hard and make something of themselves. On all social levels, the dream is losing its cachet, casting many of its former believers adrift. One-third of all Americans say they no longer even believe in the American Dream.

While the American spirit languishes in the past, a compelling new dream is coming of age, driven by the rise of the world's other great superpower, the European Union (EU). Twenty-five nations, representing 455 million people, have joined together to create a "United States" of Europe. Like the United States of America, this vast cultural entity has its own founding documents and hopes for the future. It also has its own empowering myth. Although it is still in its adolescence, the European Dream is the first transnational vision, one far better suited to the next stage in the human journey. Europeans are beginning to adopt a new global consciousness that extends beyond, and below, the borders of their nation-states, deeply embedding them in an increasingly interconnected world.

Comparing Quality of Life

Americans are so used to thinking of our country as the most successful on earth, they might be surprised to learn that, by many measures, this is no longer the case. In just a few decades, the European Union has grown to become the third-largest governing institution in the world. Though its landmass is half the size of the continental United States, its $10.5 trillion gross domestic product now eclipses the U.S. GDP, making it the world's largest economy. The European Union is already the world's leading exporter and largest internal trading market. Sixty-one of the 140 biggest companies on the Global Fortune 500 rankings are European, while only 50 are U.S. companies.

The comparisons between the world's two great superpowers are even more revealing when it comes to the quality of life. For example, in the European Union, there are approximately 322 physicians per 100,000 people, whereas in the United States there are only 279. The United States ranks 26th among the industrial nations in infant mortality, well below the EU average. The average life span in the 15 most developed EU countries is now 78.01 years, compared to 76.9 years in the United States.

Children in 12 European nations now rank higher in mathematics literacy than their American peers, and in 8 European countries children outscore Americans in scientific literacy. When it comes to wealth distribution -- a crucial measure of a country's ability to deliver on the promise of prosperity -- the United States ranks 24th among the industrial nations. All 18 of the most developed European countries have less income inequality between rich and poor. There are now more poor people living in America than in the 16 European nations for which data are available. America is also a more dangerous place to live. The U.S. homicide rate is four times higher than the European Union's. Even more disturbing, the rates of childhood homicides, suicides, and firearm-related deaths in the United States exceed those of the other 25 wealthiest nations, including the 14 wealthiest European countries. Although the United States is only 4 percent of the world's population, it now contains one-quarter of the world's entire prison population. While the EU member states average 87 prisoners per 100,000 people, the U.S. averages an incredible 685 prisoners per 100,000 people.

Europeans often remark that Americans "live to work," while Europeans "work to live." The average paid vacation time in Europe is now six weeks a year. By contrast, Americans, on average, receive only two weeks. Most Americans would also be shocked to learn that the average commute to work in Europe is less than 19 minutes. When one considers what makes a people great and what constitutes a better way of life, Europe is beginning to surpass America.