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This paper examines the source and significance of the transatlantic divide between the U.S. and Europe. The paper examines several explanations such as Robert Kagan’s argument that American preferences for unilateralism and European preferences for multilateralism stem from underlying power positions. Drawing on John Ikenberry’s work, the essay notes that multilateralism is often a successful tool of great powers. The paper then considers Charles Kupchan’s argument that great powers inevitably decline. With Europe on the rise and eager to play a more dominant role, Kupchan suggests more conflict can be expected. As evinced by a widening cultural gap on issues such as the death penalty, Kupchan envisions strains in the transatlantic alliance that only conscientious policymakers can mute. While sympathetic to Kupchan’s argument, the essay takes issue with his assessment of European cohesiveness and the extent of the values gap. Through the analysis of climate change politics, the paper concludes that domestic political processes and institutional configurations undermine transatlantic cooperation and accentuate values differences, particularly on issues such as the use of force. Like Kupchan, the essay suggests that policymakers can mitigate these problems, but success will require appeals to respective domestic polities that compromises are necessary to further the common good. [ABSTRACT FROM AUTHOR]