The global economic state is grounded on the ability of developed and developing countries to withstand periods of economic depression and their recovery efforts. In the article, the authors’ thesis statement is that the Western developed countries, mainly, United States and Britain have lost their global economic dominance and influence resulting in an uptake of responsibilities from developing-emerging market such as China and Russia. The shift after the Washington Consensus was caused by the lack of proper social safety structures in developed countries thus making recovery process take longer. The authors Nancy Birdsall and Francis Fukuyama have vast knowledge in global economics and analysis of emerging markets. The information provided in the article is reliable since, on one hand, Nancy Birdsall has conducted research on global economic development and international development funding reforms as the president of Center for Global Development (Center for Global Development). Similarly, Francis Fukuyama has expertise in global politics from his education and research in political science, He has experience on international development philosophy, global capitalism and international politics (Stanford Edu).
The reasons presented by the authors for the observed reaction by the developing countries in the financial crisis are valid such as lack of social security nets in the capitalist market. The model leads to financial crisis as more and more elderly people fall into poverty due to lack of support. Among other reasons such as political regime in place, the authors clearly discuss the shift of dominance from American and Britain to other countries. The article eludes to the current situation in the United States where the social security fund is being adjusted to cater for more people (Social Security Administration). Clearly, the economic policies within a country determine its development in the global sector as well as the domestic impact. Therefore, having stability in political governance is a key aspect in remaining actively involved in global economic affairs.
Center for Global Development. “Nancy Birdsall.” Center for Global Development, 2018, www.cgdev.org/expert/nancy-birdsall. Accessed 7 June 2018.
Social Security Administration. “2018 Press Releases | Press Office | Social Security Administration.” The United States Social Security Administration, 2018, www.ssa.gov/news/press/releases/2018/?utm_source=facebook&utm_medium=social&utm_campaign=oea-blog&utm_content%20field=#6-2018-1. Accessed 7 June 2018.
Stanford Edu. “Francis Fukuyama.” Biography | Francis Fukuyama, fukuyama.stanford.edu/. Accessed 7 June 2018.