The Rise of China.

It is a common theme in the world of economics and politics, that the rise of China will undo the power that the United States had gained since WWII. The point is that China needs more than the US output in order to obtain a GDP per capita that the US has. The economic growth rate also will decline as the "optimum" capital is reached.

"In contrast, China still lags far behind the United States economically and militarily, and has focused its policies primarily on its region and on its economic development. While its "market Leninist" economic model (the so-called "Beijing Consensus") provides soft power in authoritarian countries, it has the opposite effect in many democracies. Soft power is the ability to produce preferred outcomes by attraction rather than coercion or payment, and China has announced major efforts to increase its soft power.

Even if China's gross domestic product passes that of the United States around 2030 (as Goldman Sachs projects), the two economies would be equivalent in size, but not equal in composition. China would still have a vast underdeveloped countryside, and it will begin to face demographic problems from the delayed effects of the one child per couple policy it enforced in the 20th century. Moreover, as countries develop, there is a tendency for growth rates to slow.

Assuming a 6 percent Chinese growth and only 2 percent American growth after 2030, China would not equal the United States in per capita income until sometime in the second half of the century. China is a long way from posing the kind of challenge to America that the kaiser's Germany posed when it passed Britain at the beginning of the last century."

Looks like China will have a long way to go.