In this article, Michael Beckley makes an important contribution to how scholars measure state power, arguing that net rather than gross indicators of a state’s military and economic resources better capture a state’s capabilities. The question of how to measure state power is central to both theoretical and policy debates. In theoretical terms, power lies at the center of any effort to understand how states can influence one another in the international arena. Arguably no outcome in international affairs can be properly understood without attention to the relative power of the actors involved. Likewise, some of the most important policy debates hinge on perceptions of relative power, including those over the rise of China and the strategic posture the United States ought to adopt as a result. Advocates of U.S. retrenchment tend to argue that China is rapidly closing the gap in capabilities with the United States and will soon eclipse U.S. capabilities. Beckley and others who advocate a strategy of deep engagement argue that the United States still enjoys, and will likely continue to enjoy for the foreseeable future, a sizeable advantage over China. It is an ambitious objective to take on such a core question, and Beckley should be applauded for challenging widely established approaches to using power as a variable and suggesting ways to improve those approaches that are both promising and parsimonious.