Only two of the world’s 15 biggest economies are expected to grow in 2009: China and India. If emerging economies, like Brazil, China, and India continue to grow at a much faster rate than the U.S. economy it could very well mean an end to America’s reign as the driving force in the global economy. However, such a decline in global economic leadership does not necessarily mean a decline in the absolute living standard of Americans. As Time points out in their article, it could be much more similar to the relative decline of Britain than to the absolute decline of the Roman Empire.
Furthermore, to a global investor a gain in an international investment spends the same as a gain in a domestic investment. The world is open for investment; it just requires overcoming the home-country bias that causes so many to miss out on international investment opportunities.
