CRISIS WON’T UPSET

US DOMINANCE
Source:-Economic
times(Aug,6)

PRESNTED BY:-
RAJENDRA JHARIYA(LEADE
RAVINDER KAUR(PRESENT
RATNESH SHRIVASTAVA(C
BUILDER)
 BEGINNING OF CRISIS
 Collapse
of Wall Street investment
bank Lehman Brothers.
 US CRISIS TURNED TO
GLOBAL CRISIS.
 World’s export to US declined.
 Capital flow from US reduced.
 Exports from US lowered.
 EFFECTS ON WORLD
 Growth in European Union is
expected to shrink by 3.2%
 In Japan by 5.8%
 In Russia by 6.5%
 EFFECTS ON US
 The American economy has been
battered by present financial crisis. It
could take several years for it to get
back to normal.
 Some commentators suggested this
could be the beginning of end of the
US dominance.
 WHY US MAY LOSE
DOMINANCE ?
Experts views ….
 US economy take several years to
recover meanwhile, rivals like China
power ahead.
 America’s national debt is set to
explode.
 US dollar will lose its status as
reserve currency in near future.
 American financial system will soon
 COMPARISON WITH
INDIA
BASIS US INDIA
DEFICIT 89% OF GDP 12% OF GDP

EXPECTED 4% 8%
GROWTH RATE
 WHY US STILL
DOMINATES
 US is regarded as safe haven by
investors.
 Dollar is the reserve currency.
 Plays a major role in World Trade
Organization.
 Key international trade relations.
 TOP TEN WORLD
TRADE PARTNERS OF
 CANADA US UNITED KINGDOM
 CHINA  SOUTH KOREA
 MEXICO  FRANCE
 JAPAN  TAIWAN
 GERMANY  NETHERLANDS
 TOP 5 COUNTRIES
RECEIVING US SUPPLYING US
EXPORTS
CANADA IMPORTS
CANADA
MEXICO CHINA
JAPAN MEXICO
CHINA JAPAN
UNITED KINGDOM GERMANY
 CONCLUSION
For the reasons mentioned
previously it could be rightly
concluded that,
”Crisis does not pose threat to
America’s dominance of the world
economy.”
When the US catches a flu,
the rest of the world goes down with
pneumonia & the US ends up looking
stronger.
THANK-YOU