The Decline and Fall of Declinism: Some people don't want to admit it, but America is in great shape.

Any discussion of U.S. power has to begin with its enormous economy. At $13.13 trillion, the U.S. economy represents 20 percent of global output. It's growing faster than Britain's, Australia's, Germany's, Japan's, Canada's, even faster than the vaunted European Union.

In fact, even when Europe cobbles together its 25 economies under the EU banner, it still falls short of U.S. GDP—and will fall further behind as the century wears on. Gerard Baker of the Times of London notes that the U.S. economy will be twice the size of Europe's by 2021.

On the other side of the world, some see China's booming economy as a threat to U.S. economic primacy. However, as Baker observes, the U.S. is adding "twice as much in absolute terms to global output" as China. The immense gap in per capita income—$44,244 in the U.S. versus $2,069 in China—adds further perspective to the picture.