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"Washington has the delusion it still runs the show," Jeffrey Sachs declared recently. The American economist went on to spell out how his country has been ignoring the fundamental shifts reshaping the world, with China's rise to a global economic and military power at the heart of them, and why U.S. hegemony is breaking down. Yet, delusions of grandeur still linger in Washington's halls of power, spawning policies of trade war and conflict, he said.