ThinkTankWeekly

Why Capitalism Persists

Foreign Affairs | 2026-04-21 | economy

Topics: Russia, Trade, United States

Visit original source

ThinkTankWeekly provides a curated entry and summary only. Full text and PDF remain on the publisher's website.

English Summary

The article challenges the post-Cold War assumption that the defeat of communism guaranteed the inevitable global spread of US-led liberal democracy and capitalism. It notes that the current global order is characterized by significant instability, including democratic backsliding, rising public mistrust of liberal institutions, and skepticism regarding open markets. While the ideal of free-market democracy is in crisis, the core persistence of capitalist structures remains the central finding. Policymakers must therefore adjust strategies away from assuming a linear spread of liberal models, recognizing that global economic forces are now driven by complex, non-linear geopolitical and social pressures.

中文摘要

本文質疑了後冷戰時期普遍假設,即共產主義的敗退必然會導致美國主導的自由民主和資本主義在全球範圍內不可逆轉的擴散。文章指出,當前的全球秩序呈現出顯著的不穩定性,包括民主倒退、公眾對自由制度日益降低的信任,以及對開放市場的懷疑。儘管自由市場民主的理想正處於危機之中,但其核心的資本主義結構的持續性仍是本文的關鍵發現。因此,政策制定者必須調整策略,不能再假設自由主義模式會呈現線性擴散,而應認識到全球經濟力量現在是由複雜的、非線性的地緣政治和社會壓力所驅動的。

Related Entries

  1. 1.

    The article outlines how a successful modern foreign policy career requires blending traditional diplomatic expertise with private sector acumen. Juster's career trajectory—from international law to high-stakes diplomacy (e.g., the Gulf War) and subsequently to the technology sector—demonstrates this synthesis. Key evidence includes his work managing complex negotiations under duress and his involvement in co-founding the U.S.-India High Technology Group. The implication for policy is that effective geopolitical strategy must actively integrate private sector knowledge and technological considerations to manage modern economic and security challenges.

    Read at CFR

  2. 2.
    2026-05-18 | europe | 2026-W20 | Topics: Europe, Middle East, Russia, Ukraine

    The analysis suggests that Russia's ability to sustain its war effort in Ukraine is facing increasing internal and external pressures. Key evidence points to a tightening economic crisis, evidenced by widespread blackouts and a noticeable scaling back of traditional military displays. Furthermore, the discussion highlights Putin's increasing isolation and micromanagement, suggesting that the strategic initiative may be slipping out of Moscow's control. Policymakers should monitor these signs of internal strain, as they indicate potential vulnerabilities and a possible shift in Russia's military and geopolitical calculus.

    Read at Chatham House

  3. 3.
    2026-05-18 | economy | 2026-W20 | Topics: Europe, United States, Economy

    The Brookings report argues that closing long-term fiscal deficits cannot be achieved solely by taxing high earners or corporations. Analysis shows that the required savings necessitate broad-based tax increases that would significantly impact middle and lower-income families, as targeted taxes on the wealthy are insufficient. The report notes that high-tax OECD nations achieve high revenues through broad consumption taxes (like VAT) rather than exclusively through highly progressive taxes on the rich. Consequently, any major tax-funded deficit solution would impose a substantial burden on the working class, potentially without the comprehensive social benefits enjoyed by European counterparts.

    Read at Brookings

  4. 4.
    2026-05-18 | china_indopacific | 2026-W20 | Topics: AI, China, Climate, Europe, Indo-Pacific, Middle East, Nuclear, Russia, Taiwan, Trade, Ukraine, United States

    The analysis concludes that China will hold the upper hand at the upcoming Trump-Xi summit, leveraging its dominance over critical minerals, rare earths, and magnet supply chains. This geopolitical leverage, combined with global instability (such as the Iran conflict), allows Beijing to dictate terms and buy time to consolidate its technological and industrial self-sufficiency. Strategically, the U.S. must avoid granting China a managed equilibrium by maintaining 'maximum pressure' on key sectors like AI and tech, rather than seeking broad agreements that could undermine American leadership.

    Read at CFR

  5. 5.
    2026-05-18 | middle_east | 2026-W20 | Topics: Middle East, Russia, Trade, Ukraine, United States

    The article argues that the ongoing Iran War has triggered a severe global hunger crisis, exacerbated by U.S. aid cuts and policy neglect, pushing millions to the brink of starvation. Key evidence includes the termination of U.S. support in countries like Afghanistan, Somalia, and Yemen, coupled with supply chain disruptions and massive cost increases across the region. Policy recommendations are urgent: the U.S. must immediately deploy its $5.4 billion in unspent humanitarian funds, establish a humanitarian corridor through the Strait of Hormuz, and reinstate life-saving aid to critical nations.

    Read at CFR