SUPERPOWERS: USA and EU challenges as superpowers Flashcards
what economic problems challenge the USA as a superpower?
National debt in the USA in 2016 was $19 trillion BUT as its got so many TNCs its still quite stable
(debt, unemployment, economic restructuring, social costs)
USA Demographic
The USA is aging slower than the EU and the social costs tend to fall on the individual rather than the government (pensions, healthcare). The total population will keep growing from 324 million currently to approx. 415 million in 2060
USA Political
Race relations in parts of the USA are difficult. Quite often the political parties reach deadlock. US values are relatively consistent across the country
USA Resource
The USA are becoming more secure in their resources due to oil and gas fracking. Water is becoming an issue in some areas of the southwest
USA Social
Health spending is approx. 17% of the USAs annual GDP (74% of Adult Americans are over weight)
what economic problems challenges the EU as a superpower?
Debt in the Eurozone was €9.7 trillion in 2016 and £1.6 trillion in the UK, 90% of annual GDP for both! Debt is a massive drag on economic growth.
(debt, unemployment, economic restructuring, social costs)
EU Demographic
The EU is aging fast; by 2025 20% of EU citizens will be over 65. The EU workforce will drop by 14% by 2030 putting a burden on those working.
EU Political
Tensions between counties wanting deeper union (France & Germany) and the UK have grown. This has resulted in the rise of the far right. Relationships with Russia and issues over immigration have led to issues
EU Resource
Energy security is a key EU issue, as it relies on imported oil and gas, some of which comes from Russia.
EU Social
Youth unemployment in the EU was 22% in 2015, and over 45% in Greece and Spain. Long term youth unemployment risks a ‘lost generation’ of young people, as well as political disaffection.
