The Seven-Year Slide

At the dawn of the 21st century, conventional wisdom was that America held unmatched cultural, economic and military power. George F. Will wrote: "It is good to be alive in America at the end of the first (but not the last) American century." In late 1999, Charles Krauthammer wrote: "No other nation has exercised such military, economic, diplomatic and cultural reach since Rome. . . . America bestrides the world like a colossus."

Boy, have times changed.

As 2007 drew to a close, a Newsweek International cover featured the image of a bruised Uncle Sam slumped in a boxing ring, under the headline: "Can America Get Back on Top?"

So what happened? How did we go from dominant military, economic and cultural superpower to battered fighter in the corner?

As President Bush prepares to deliver his final State of the Union address today, it's fair to judge his tenure by assessing the country he inherited and the country he will leave behind. By any examination, the Bush administration has weakened the nation:

George W. Bush inherited a country with a $236 billion surplus. He engaged in seven years of deficit spending that will leave America with more than $3.5 trillion in new debt.

Bush inherited a middle class whose incomes increased more than $6,000 between 1993 and 2001. Median household incomes have dropped over $1,000 since he took office. During his presidency, health-care premiums have doubled, from about $6,000 to $12,000 per family.

Bush inherited a military that had all active-duty Army divisions rated at the highest readiness levels and that was capable of fighting a two-front war. He will leave behind a military facing the worst readiness crisis in a generation, with not a single active-duty or reserve brigade "fully combat ready."

Bush inherited a nation that was respected on the international stage; he will leave behind one reviled by many around the world. A Pew poll of 10 nations found that in 2001, 58 percent of respondents viewed America favorably; today, that number is 39 percent.

The optimistic predictions of the late 20th century have disappeared. Now Americans and the world are wondering if we can get back on top.

I believe we can. But we must be prepared to rebuild America at home and abroad. At home, we must prepare for the challenges that come with globalization. We need a New Deal for the New Economy -- a plan that helps address Americans' economic anxieties and prepares workers for the future.

We must reform the way we educate the next generation of workers to ensure that our nation stays competitive. In an era in which you earn what you learn, America should do more to make college affordable and require all students to receive one year of training after high school -- be it at a community college, technical school or university. The GI Bill and universal high school education have proved that investing in human capital yields tremendous dividends.