on October 20, 2026
For well over a century, the United States has been a hub of innovation, economic growth, and vitality. We are seen as a leader across the globe, with more economic power than any other single nation. According to Visual Capitalist, the US economy makes up over one-quarter of the world’s GDP, about $32.4 trillion. But could all of that change?
Some have speculated that economic dominance may transfer from the United States to China at some point, which could disrupt US prosperity and shake up domestic markets. And they worry individual investors could be caught in the middle. However, I continue to have steadfast faith in the US economy and in US businesses. Here’s why…
1. We’re Innovative
Although the US only contains 5 percent of the world’s population, we comprise a quarter of its GDP. That happens through innovation, and by designing and producing products and services that the rest of the world wants. Innovation brought us such life-changing inventions as the automobile, the telephone, the personal computer, social media, and cell phones. And we continue to be a nation of creative innovators.
2. We’re Adaptable
When faced with a crisis, US businesses are often known for their adaptability and resilience. Take the COVID pandemic, for example. While it’s true that some businesses failed during this time, others made it through by pivoting to online ordering, offering alternative services, or coming up with creative fundraisers. As a nation, we have made it through the Great Depression, several major wars, the 1970s oil crisis, and more. Large US companies have proven to be especially able to adapt to new circumstances, sometimes emerging more prosperous than ever.
3. We’re Large
Being a large economy doesn’t mean that we can’t fail, but it does give us plenty of cushion to get through tough times. If, indeed, economic power begins to shift to another nation, we should have plenty of time to react, plan, pivot, and adjust. Other nations rely on US companies and products, and that reliance will not shift to another country (or countries) overnight. In short, even if the US economy experiences some “downsizing,” the shift would likely be slow enough to give businesses time to adjust and investors time to plan accordingly.
4. We’re People Powered
I believe in the power of the American worker. This nation was built by hardworking people who kept its farms producing, its factories churning, and its offices humming along. We continue to have a strong working and middle class, powered by consumer spending. We also benefit from worker protections, both at the federal and state levels. Though the work landscape has changed over the years (and will continue to change), we remain a nation powered by dedicated, hardworking people.
For those reasons, I remain optimistic about the United States’ place in the world. Our position as a global economic superpower is not poised to change anytime soon, and even if it does, that change will likely be gradual. So, individual investors, keep calm and proceed as usual! At most, your portfolio may need to be rebalanced, but there’s no reason to take drastic action. And when in doubt, talk with a trusted financial advisor. We are pros at keeping calm and seeing the big picture.