International Trade and Finance
International Trade and Finance
ECO/372
January 28, 2013
Week 5 individual assigment
International Trade and Finance
Hello Ladies and Gentlemen of the press. I am Samantha Jones, Speaker of the House. Today I will address several issues concerning the current state of the United States macro-economy (in terms of its international aspects) and how it affects these areas. I know economics can be hard to understand for many people, myself included at times. So I will try to explain everything in an easy to understand way and terms. If anyone has any questions please write it down, and wait until the end. Then we will address any issues you may still have.
The first issue I want to discuss is what happens when the United States has an import surplus in a particular product or class of products. This means the United States has bought too much of something from another country than it can use. For example, the United States buys oil from other countries, and if the United States buys more than the people can use. The United States will have to store the extra oil, and so it costs more money, and this will cause costs to rise for both consumers and businesses that need to use and purchase oil.
The second issue I want to discuss is the effects of international trade on real GDP growth. There was a decline of goods and services the United States exports in the last quarter’s reports, and inventory investment as well. Both these factors subtracted from the real GDP growth. It is a belief that Hurricane Sandy is a factor in why the international imports and exports, and the slow inventory investments have gone down in the fourth quarter.
The effects of international trade on domestic markets are small because the two are different in many aspects. International trade happens when two different nations conduct activity for business or consumption purposes, and domestic trade happens when two markets in the same country conduct the activity. In
ECO/372
January 28, 2013
Week 5 individual assigment
International Trade and Finance
Hello Ladies and Gentlemen of the press. I am Samantha Jones, Speaker of the House. Today I will address several issues concerning the current state of the United States macro-economy (in terms of its international aspects) and how it affects these areas. I know economics can be hard to understand for many people, myself included at times. So I will try to explain everything in an easy to understand way and terms. If anyone has any questions please write it down, and wait until the end. Then we will address any issues you may still have.
The first issue I want to discuss is what happens when the United States has an import surplus in a particular product or class of products. This means the United States has bought too much of something from another country than it can use. For example, the United States buys oil from other countries, and if the United States buys more than the people can use. The United States will have to store the extra oil, and so it costs more money, and this will cause costs to rise for both consumers and businesses that need to use and purchase oil.
The second issue I want to discuss is the effects of international trade on real GDP growth. There was a decline of goods and services the United States exports in the last quarter’s reports, and inventory investment as well. Both these factors subtracted from the real GDP growth. It is a belief that Hurricane Sandy is a factor in why the international imports and exports, and the slow inventory investments have gone down in the fourth quarter.
The effects of international trade on domestic markets are small because the two are different in many aspects. International trade happens when two different nations conduct activity for business or consumption purposes, and domestic trade happens when two markets in the same country conduct the activity. In
References: http://bangkoklogistics.com/international-business/domestic-trade/What-Is-Domestic-Trade.html Busch, Anton. (Oct. 23, 2012). http://www.ehow.com/about_4618388_does-china-buy-us-debt.html Owens, Michael A. International Trade in Education Programs, Goods, and Services. Encyclopedia of Education. 2002. Retrieved February 04, 2013 from Encyclopedia.com: http://www.encyclopedia.com/doc/1G2-3403200338.html Rubin, K. (Jan. 30, 2013). http://www.examiner.com/article/gdp-drop-4q-2012-is-precursor-to-impact-of-sequester-2013 Rudner, Martin. 1997. "International Trade in Higher Education Services in the Asia Pacific Region." World Competition 21:88–116. Sisson, Nicholas B. (2013). http://www.ehow.com/about_6593199_exchange-determined-markets-foreign-exchange_.html http://voices.yahoo.com/international-sanctions-tariffs-quotas-trade-restrictions-181716.html http://www.worldsrichestcountries.com/top_us_imports.html