When the US GDP goes up it means it has more things to sell to the world

Note: I am not an economist so you are welcome to educate me.

This applies to the growth of the GDP of all nation states.

The more people there are, the larger the market to sell to. The richer people are, the more things they can buy.

These two factors taken together help grow the GDP year on year.

This is why the US is focused on two things:

1. Constantly growing its population

2. Constantly investing in developing economies.

There is a third factor that impacts GDP growth and that is product competition from other nation states. If every nation state produced the same product there would be an oversupply and GDP growth would slow down as most of the product wouldn't be sold.

All nation states grow their GDP by figuring out niche areas where they can sell a product better than the other nation state.

A fourth factor that impacts GDP is the intelligence of the population. The smarter a population is, the more advanced products it can create, the more advanced products it creates, the higher the value of the product thus creating a further increase in GDP.

This is why nation states like South Korea and Japan are so strongly focused on educating their populace and have such strict competitive exams.

Countries which have a shrinking population lose one key advantage, their internal market begins to shrink so they cannot sell as much product. The only way for them to increase their GDP is to keep increasing exports. These nation states become completely dependent on external markets to grow their GDP and thus lose their independence.

Today, there is strong product competition between the US and China when it comes to high end technologies, where the US has a preference of being the single provider of these products. As China gets closer to reaching the technological capabilities of the US, we find that the high end products where both the nation states can make the product drops in price due to increased competition. For example - solar panels. Space transportation costs.

In terms of intelligence the East Asians are the smartest which allows them to create niche market specializations to keep their economies running. For example - South Korea Samsung. Japan Anime. Chinese solar panels.

There is one problem however, the whole world can be supplied with only so much product. This is because a single human can only consume so much in one lifetime.

This is why we see that constantly growing economies also have an ever increasing consumerist culture, as that is the only remaining way to sell more product, and keep the GDP growing, by turning people into consumption zombies.

Globally, logic dictates that over time there will be a product supply saturation point, where the nation states left the furthest behind cannot enter any of the further developed markets globally due to them already having reached market equilibrium. We can already see this in the case of Africa, where many of the nation states are able to grow only because of other developed economies moving their battery farms or other equivalent product there.

In simple terms, the longer a nation state remains behind in the global market, the harder it becomes for it to move forward.

Globalization primarily benefits nation states with large populations as free trade permits them to provide more products in their internal market and the added competition helps grow innovation and the GDP further.

Small nation states are overwhelmed by the supply of products from the rest of the world and their internal markets are unable to keep up and grow in any meaningful manner. This also applies to poor nation states irrespective of population.

In the 21st century the main beneficiary of globalization is the US, as its rate of innovation and new product design is high enough that it can keep selling more new product both in its internal market and external markets at all times.

The US has reached the point of saturation where the only way for it to keep growing at a healthy rate would be for it to actively compete in trade wars with other nation states and to take over the niche markets of other nation states.

For example - All the markets where the US out competed Europe.

Similarly, the only way for China to keep growing its GDP with a shrinking population, and already being a middle level product creator, is to shift towards high end product design and sales, which ends up with it competing with the US in a saturated market where developed economies only need a single version of a product to be mass purchased for use across Multi national corporations and research centers, and among the rich.

Conclusion:

China and US are currently competing for a market niche that is not large enough to have two nation states provide the product. One of them is going to lose their dominance in the sale of high end products.

The US is moving towards dominating the traditional economic niches of other nation states. For example - funding developing cutting edge microchip development domestically, which was previously done by Taiwan. Attempts at using lab grown meats and vertical farming to increase agricultural output. Automation to continuously reduce prices of products so as to keep them competitive in the global market.

Africa is too far behind to ever be able to take up a large chunk of the global market due to the areas ahead already being too saturated by all the other nation states.