Today’s Independence Day celebrations marked a return to Camelot as President Hillary Clinton celebrated the new economic boom and welcomed the former Canadian states into the USA.

Hillary Clinton has moved quickly to bring them into the fold, even as Quebec seceded and applied to join the European Union.

Under George W Bush, America was both reviled and envied; but now the US has once again become the darling of the world. Ironically it was the Bush administration’s escapades in Iraq and stimulatory budgets that laid the foundation for the economic success enjoyed by his successor.

Bush claims that his attitudes towards global partnerships during his second term – what his aides have called ‘Economic Glasnost’ – was the major contributor to increased trade.

Now Clinton has reaped the rewards of sustained high levels of economic growth. With improved international relations, explosive trade with China, and the latest aerospace boom, the US is riding high.

The Independence Day celebrations were the most lavish in several decades, reflecting America’s feeling of paradise regained. In WTC Memorial Square, once known as ‘Ground Zero’ an estimated half million people watched Eagle II make a perfect landing on the Moon.

Almost a decade after 9/11 the reversal of America’s fortunes seems almost too good to be true, but is mirrored on the thousands of happy faces gazing up at the giant screens in Memorial Square.

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ANALYSIS >> SYNTHESIS: How this scenario came to be

Scenario

Despite its unpopular foreign policies, or perhaps because of them, the US has enjoyed reasonably high economic growth in recent times and is set to continue along this path for the foreseeable future.

One of the primary reasons for this is demographics. While other developed nations such as Italy and Japan have a stable or declining, aging population, America enjoys a high level of immigration and skills acquisition, keeping its economically active population growing and productive.

Another major factor is trade. Trade with China, and the spin offs from world military dominance, tech industry booms and the coming resurgence in aerospace all help to fuel the economic engine.

Finally the changing political landscape will undoubtedly have its effect on the economic picture. Despite sharply different economic plans, Global Insight believes the prospects for economic growth would be roughly the same under either Kerry or Bush.
2004: Iraq starts paying dividends>
Despite extended conflict, Iraqi leaders take office, and revenues from reconstruction and oil exports finally start flowing to the US. The US, which is already delivering higher than expected figures, leads the world into a new phase of economic growth. Last minute threats from Al-Qaeda work for Bush, who narrowly beats John Kerry in a hotly contested election.

2005: Bush looks to make peace with friends>
Having secured his second term, Bush switches to a policy of diplomacy that wins back foreign allies, while maintaining an iron fist in the velvet glove. The war on terror becomes less aggressive and more multi-lateral, and achieves some success. This is helped by the global economic upturn and improved trade relations. It seems that globally, business is against terror. The EU, weakened by low growth, has no option but to follow the money.

2006: Trade with China, Korea at an all-time high>
The continuing economic miracle in China has positive spin offs for the US. The bulk of trade from China is with the US, and China holds the largest foreign store of US Dollars. China protects its own interest by maintaining a stable rate for the dollar. Vietnam and Thailand have joined Korea as key trading partners. Japan’s economy recovers somewhat, further improving growth in the region.

The state of California, which in 2002 was the world’s sixth largest economy, rockets ahead under the leadership of Schwarzenegger, spurred on by Hollywood, Silicon Valley, Virgin Galactic and massive trade volumes through the west coast ports.

2007: Aerospace takes off>
NASA gets into high gear for a return to the Moon. The participants in the X-prize competition are now the back-bone of the private space industry. China is the rival in this new space race. Bush exhorts NASA to “get back to the Moon before China.”

Remarkably, there have been no significant terror attacks against American citizens since the re-election of Bush, despite a groundswell of comments that “it may become necessary to intervene in Iran.”

2008: Bio-tech and Nano-tech kick in>
Bio-tech and nano-tech industries start to mature and lead the new tech boom. In another heated election, Hillary Clinton beats George W’s younger brother Jeb Bush in the race for the White House. Her supporters are ecstatic, and talk about “the New Camelot”, reviving memories of the Kennedy administration. The Pentagon’s plans to invade Iran are shelved.

California’s economy is now the world’s fourth largest, equivalent to that of the UK and still larger than China. Its steadily growing Mexican, Korean and Chinese population is younger, more productive and better educated than any developed nation.

2009: Hillary Clinton becomes the First Lady President>
US housing booms. Employment soars. The mighty US Dollar reigns supreme. Quebec secedes from Canada. The rest of Canada applies to join the USA. The Freedom Tower finally opens on WTC Memorial Square.

2010: America returns to the Moon>
The USA now includes Canada.
Mexico’s referendum on joining the US returned an overwhelming ‘Yes’ vote, and negotiations are underway to enable that incorporation. Mexico waits for the nod.
Americans celebrate their good fortune. Eagle II lands on the Moon on Independence Day, beating China by a matter of weeks. It’s the American Dream, and Hillary is their queen.