GEI was honored to be invited to attend an audience with renowned economist and public policy analyst Professor Jeffrey Sachs at Renmin University of China in Beijing on March 21st.
Beijing, March 21, 2026 — In a wide-ranging lecture at Renmin University of China, renowned economist and public policy analyst Professor Jeffrey Sachs urged a fundamental rethink of how we measure national power, called for a multipolar world order that sidelines an increasingly hostile United States, and warned that financial crises arise not from economic trends alone, but from “terrible mistakes” made by policymakers.
Speaking to an audience of guests, faculty and media, Sachs first challenged conventional economic metrics. He noted that while standard GDP comparisons show a significant gap between the US and China, Purchasing Power Parity (PPP) tells a different story: China’s economy is already 30 percent larger than America’s in absolute terms, with China approaching $40 trillion against the US’s $30 trillion.
However, Sachs argued that even PPP is inadequate. He pointed to healthcare as a prime example: the US spends vastly more per capita on healthcare than China, inflating its GDP, yet life expectancy and health outcomes are comparable—with China often faring better. “We are not healthier than the people of China,” he said, concluding that “comparisons of income levels are not very helpful.”
According to Sachs, aside from housing space—which remains larger in the US—real living conditions between the two nations are converging rapidly. He extended this parity to technology and innovation, stating that the two countries are “roughly similar,” with China leading in some areas and the US in others, and emphasized that China is “far ahead in production” across many sectors.
A Multipolar World Without US Hegemony
Sachs’s lecture took a decidedly geopolitical turn when he addressed the current global order. Describing the United States as “hostile” and “non-cooperative with the entire world,” he argued that the most important international relationships are no longer those centered on Washington.
“I don’t believe that the most important relationship in the world is US and China,” Sachs stated. “I think the most important relationship in the world is all of the world’s countries other than the United States right now.”
He proposed that China, alongside India, Russia, and the African Union, take the lead in preserving international cooperation. He went so far as to suggest that China should host a major United Nations campus in Beijing focused on sustainable development, given what he described as US unreliability within the UN system.
Sachs was sharply critical of US militarism, noting that China has wisely avoided war for 47 years. He called on other nations to explicitly oppose US military actions, such as the war against Iran, arguing that silence enables continued aggression. “If the rest of the world tells him, Mr. Trump, that is wrong, he will understand something better,” Sachs said, adding that he was glad a planned visit by the US president to China had been postponed, suggesting it should remain so “until it’s peaceful.”
He dismissed the US network of overseas military bases as an “empire” of occupation, advising all host countries to invite the United States to leave. “The world would be a lot safer if no country had a military base in another country,” he asserted.
On China’s Rise and Historical Perspective
Addressing China’s revitalization, Sachs placed it within the context of the country’s long civilization and the “century of humiliation” from 1839 to 1949. He noted that China’s decision in the Ming Dynasty to end Admiral Zheng He’s naval fleet was a “bad mistake” that left the oceans to European powers.
However, he dismissed fears of Chinese hegemony. He argued that China has no historical tradition of overseas colonization and that a multipolar world makes dominance impossible. “China will be a powerful country, but not a dominant power,” he said. “China revitalization is not a threat to the rest of the world.”
The Unpredictability of Crisis
Concluding with an economic warning, Sachs reflected on the 2008 financial crisis. He argued that it was not an inevitable collapse but the result of a “terrible mistake”: the US Treasury Secretary’s decision to force Lehman Brothers into bankruptcy. He warned that similar crises are difficult to predict precisely because they hinge on unpredictable policy errors.
“My point is avoid stupid policies,” he said. “Be careful. Be prudent.” Noting the unpredictability of the current US administration, he added: “We don’t know what mistake [Trump] will make. Neither does he.”
The lecture painted a picture of a world at a crossroads: one where traditional metrics of power are outdated, where the US is increasingly isolated, and where the greatest risks lie not in economic fundamentals, but in the realm of political miscalculation.