...Kevin December 11, 2007 Field Guide to the U.S. economy Chapter one from Field Guide to the U.S. Economy analyzes the distribution of wealth between the family and the structures of corporate power. The idea that the wealthy, usually become wealthier is stressed in this chapter. Most of the United States income is distributed to the wealthy; “The richest ten percent of all households own eighty percent of the financial wealth in America (1)”. Average families have most of their wealth invested in their homes. As for the wealthiest, most of their wealth is invested in the form of business equity, real estate, stocks, bonds, mutual funds, and trusts. This chapter also stresses that wealth does not only create a higher standard of living, but that wealth influences political outcomes. The economic power of the United States is held in large corporations with single corporate owners. Chapter two expands on the information given in chapter one and expands on welfare and education. The main point of the chapter is poverty hurts kids. I will be expanding on the ideas in the two chapters to show that the gap between the wealthy and poverty is extreme and how it effects households, welfare, and education. Section 1.1 concentrates on who owns how much in America, showing the difference between the worker and owner income. “The rich are different from you and me (3)” said F Scott Fitzgerald. The richest ten percent of U.S households own eighty percent of the countries financial...
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...Case study – The U.S. Economy, 2009 Executive Summary In this paper, we will make research on the US economy development from 1990s till today. In the beginning, we will discuss the US economy historical path that shaped its structure and key forces defined the U.S. adaptability to changing economic environment. In the major part, we will evaluate the sources of the U.S. productivity and economic growth in terms of key economic indicators and success factors, including the government role. Finally, we will analyze the causes of the U.S. financial and economic crisis, commenting on the reforms undertaken and their impact to date. 1. Evaluate the forces underlying U.S. adaptability to changing economic forces. Key forces of the US adaptability to changing economic forces were low-wage competition from foreign countries, and the growth of new high-tech industries. Mexico and China’s low-wage competition forced to intensify changes and adjustments to compete effectively with, while many cities with skilled workforce and university research centers enabled technological capability for new high-tech businesses, small and medium (Cadieux, 2009). Differences in economic structure, forced by the differences in regional economic performance, were one of the key forces that created a unique system of US adaptability to changing economic forces. These forces shaped the US regions to adapt and “specialize” in the way that provided competitive advantage for each region. Northeast...
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...The U.S. Economy Today Content Introduction…………………………………………………………………………Page 2 Data Trends………………………………………………………………………….Page 2 Fiscal & Monetary Policies….…..…………………………………….…………………………………Page 2 &3 Conclusion…………………………………………………………………………..Page 3 References…………………………………………………………………………..Page 3 Introduction We will take a look at today’s economy in the 2014. Discuss current trends such unemployment, inflation and the GDP. How do fluctuations in these trends affect the U.S. economy? What fiscal & monetary policies should be used to assist or improve our current economic situation? Lastly, what phase is our economy in today a depression, recession or expansion phase? Data Trends According to the Bureau of Labor Statistics (BLS) our current unemployment rate as of September 2014 is 5.9%, which is showing a slow steady decrease over this last year. The current GDP is 4.6%, which is showing a increase from the first quarter that was at -2.1%. The current inflation rate is at 1.7%, which has fluctuated from 1.6% in January, then had an increase in June up to 2.1%. All these factors play a role in the economical well being. For Example if the unemployment rate continues to decline and the economy reaches full employment. This will promote consumers to purchase more goods and services, because their disposable income will increase. The aggregate supply and demand will both increase, which in turn will increase the GDP. Unemployment or employment...
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...have greater comparability and this will benefit the economy as a whole. To the investor, IFRS promise more accurate, comprehensive and timely financial statement information and its global comparability. IFRS allows small investors to compete better with professional investors. IFRS eliminate many international differences in accounting standards so that it reduces the cost and the risk to investors of processing financial information. The domestic investors should keep updating the differences between GAAP and IFRS to using IFRS numbers to make the best decision. To the U.S public companies, IFRS can enhance the liquidity of capital markets and reduce companies’ costs of capital. IFRS will have a substantial impact on the reporting quality of U.S. companies. U.S firms with operations around the world could potentially save a lot of money by avoiding the costs of translating their financial reports into several local accounting languages. On the costs side, adopting IFRS would require various upfront costs for companies. During a transition phase, companies would have to modify their accounting systems and processes as well as provide comparative financial information between their previous U.S. GAAP reports and their new IFRS-compliant reports. In addition, companies would have to train their employees and outside stakeholders such as analysts and investors in preparing and using IFRS numbers. Adopting IFRS in the U.S will be benefits to the auditors who work for Big...
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...Hunter Pinion The Effect of Protectionism on the U.S. Economy Free trade on a global scale is referred to as Globalization. This occurs when a nation imports and exports goods to other countries without imposing barriers such as tariffs or subsidies. Tariffs are imposed by way of taxation of a specific imported good in order to protect the sale of similar domestic goods, while subsidies are government funds paid to domestic producers so that they can sell the product at a price below marginal cost. Sometimes the government will outright ban a specific foreign product! Each of these policies keep foreign producers from effectively selling their products to the U.S. market because most consumers will buy whatever good or product is cheapest. Some Americans believe that these tariffs and subsidies are beneficial to the U.S. economy because they help to “save American jobs” and these ideals are referred to as protectionism. Those in favor of this protectionism agenda have made several arguments one of which is saving American jobs. While saving American jobs is a nice thought, this protectionist agenda has many adverse effects that contradict this very idea. Take for example the American steel industry which has to compete on a global level in order to maintain its grip on the economy. Other countries are able to produce steel at a price cheaper than what it costs in America so in turn they can sell their product at a lower price. Of course any consumer in need of steel would...
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...Immigration’s benefits and impacts in the US economy Immigration is a subject that touches Americans deeply, for understandable reasons. America is a nation peopled almost exclusively by immigrants or those who are descended from immigrants (Griswold, D.T, 2012). Moreover, in the Revista Academica del Cisan Unam (2011), White, K.M (2011) stated that “The United States has always been a nation of immigrants, and immigration policy has always been controversial. The history of immigration in the United States is contrasted in this article with a normative standard of naturalization (immigration policy) based on the Declaration of Independence”. For centuries, according to Lehman T.E. (1995), the American culture has been a beacon of hope to the oppressed peoples of collectivist economies and authoritarian or totalitarian governments throughout the world. However, basic economic open analysis and numerous empirical studies have confirmed that immigrants boost the productive capacity of the United States through their labor, their human capital and their entrepreneurial spirit. Furthermore, immigrants complement native-born workers by filling niches in the labor market. Lower-skilled immigrants seek low-paying jobs that an insufficient number of American Aspire to fill, providing more affordable goods and services to consumers while creating more rewarding employment opportunities for the native-born. Higher skilled immigrants allow American companies to create new products...
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...United States. Others portray immigrants as filling essential jobs that are shunned by other workers and expand job opportunities. Immigration effects on employment, income, and productivity vary by occupation, job, and industry. One recent research by Peri (2009) and Peri and Sparber (2009) examining the impact of immigrants on the broader U.S. economy. These studies systematically analyze how immigrants affect total output, income per worker, and employment in the short and long run. Consistent with previous research. According to study, immigrants help to create new jobs, stabilize or strengthen the housing market, increase income per U.S.-born worker ,and make once-declining areas more attractive Immigrants create jobs. Research on how immigration impacts U.S. workers often focuses on how immigration affects the wages of native-born workers. Equally important, however, is how immigration affects employment opportunities for the native born. Research shows that increased immigration does not displace U.S. workers for many of the same reasons that there are not negative wage effects. Another reason that immigrants do not displace U.S. workers from their jobs is that many immigrants create their jobs by starting their own business. In fact, according to the 2011 Current Population Survey, 7.5 percent of the foreign-born population is self-employed. Thus, we can expect that under S. 744, between 600,000 and 840,000 of the newly legalized immigrants would be self-employed...
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...Paul Woods PSC 485 Dr. Edward Kwon 4-14-11 How the U.S Economy affects International Countries The United States of America has the most expansive economic system that out rivals any other country when compared to the U.S. The thought that if the United State’s financial system were to crumble would have a devastating effect for not only the United States but that of every other country in the northern as well as the southern hemisphere. It’s no surprise that the United States is one of the biggest exporter/importers in the world, but when the biggest country suffers economic turmoil, how does it affect the entire international community? The first question that I want to bring to the surface is what kind of impact does the Federal Reserve Bank have upon the United States economy and what exactly do their powers entail? In order to find out why our economy is in the shape it’s in, we must go straight to the source and find out what they are able to do as well as what must be done to keep our economy afloat. The second research question that I want to address covers the economic crisis that occurred in 2008-09, when Wall Street crashed, making it the second worst financial crisis since the Great Depression in 1929. We will deeper and examine the government bailouts and how it affected the GDP of domestic industry and on the international scale. Finally, our third question will be how we can focus our attempts to avoid instances like this in the future. We will look...
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...China’s Exchange Rate Regime and its Effects on the U.S. Economy John B. Taylor Under Secretary of Treasury for International Affairs Testimony before the Subcommittee on Domestic and International Monetary Policy, Trade, and Technology House Committee on Financial Services October 1, 2003 Chairman King, Ranking Member Maloney, Members of the Subcommittee, thank you for giving me the opportunity to testify on China’s exchange rate regime and its effects on the U.S. economy. This is the fifth time that I have appeared before this Subcommittee as an Administration witness. Each time I have been asked to focus on an important facet of our international economic policy. I have testified on our policy toward emerging markets, on our policy for developing countries-including reforms at the Multilateral Development Banks and the new Millennium Challenge Account, and on our policy to remove barriers to the free flow of capital in our trade agreements-including those with Singapore and Chile. In each of these cases, an underlying goal of our policy has been to raise economic growth and increase economic stability around the world, and in doing so benefit the American people with more jobs, more security, and a better life. My testimony today on China’s exchange rate regime will be no different in this respect. The Overall International Economic Strategy for Growth and Stability The Administration’s major economic endeavor now is to strengthen the economic recovery...
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...Case Study – The U.S. Economy from 2009 to Present JWI– 515 Jack Welch Management Institute At Strayer University JWI– 518 Since it's opening it's first establishment in Denver, Colorado in 1993, Chipotle Mexican Grill now has more than 1200 locations including restaurants in 41 states, Canada, and England. Considering it's success, it is unlikely that Chipotle would have earned a net income $215 million(1) last year without the strategic implementation of social media. Chipotle has employed social media as both a stand-alone means for promotion, as well as a smaller component to much larger campaigns. Among the successful applications are burrito give-aways, event promotion, “foil” art contests, and the most notable and successful “locally grown” campaign – which included a recent spot during the 2012 Grammy Awards. The “locally grown” campaign is indeed Chipotle's most involved social media promotion, including videos, contests, and conversations all surrounding the local farming movement. The campaign's official moniker is “Food with Integrity,” and according to the official website is a “commitment to finding the very best ingredients raised with respect for the animals, the environment and the farmers.”(2) “I think it's really important that people know where their food comes from” says Steve Ells, Founder and Chairman of Chipotle. The campaign's first successful venture was the “Boorito” event, where they encouraged customers to dress up as family farm-inspired...
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...Industrialization after the Civil War in America had absolute outcomes on society, economy and politics. These outcomes changed farms to cities in society, also, came the emergence of major and lastly, prominent also corrupt businessmen ruled the government. After the civil war industrialization helped our society, the economy and also corrupt businessmen that ruled the government. Our society improved due to the freeing of slaves to women rights improving. The economy developed a corporate society. One in which expansions of industries developed and created better ways of expanding and growing businesses. Finally, prominent businessmen that ruled the government were controlled by the creation of laws and better rules and regulations. The first major aspects of industrialization that influenced U.S. society was the passing of the thirteenth amendment which outlawed slavery endlessly for African Americans. Not only was this law passed in the south. The law was passed throughout the land. This allowed African American families to gain stability. The second major aspect was that the U.S. economy was reaping the benefits of railroads. The continuous growth of railroads can also be contributed to Leland Stanford who developed the railroad system in California and the whole West readily available. (Schultz, Kevin M., 2014). The third major aspect was the political issue of Women’s voting rights. Ratification of the 19th Amendment to the Constitution on Aug. 18, 1920, finally...
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...OUTLINE & THESIS STATEMENT Impact of Industrialization after the Civil War on American Society (Thesis & Outline) [Strayer University] [U.S History 105] ] Impact of Industrialization After the Civil War on American Society (Thesis & Outline) Part 1- Thesis Statement The Industrial Revolution marks a major turning point in human history; almost every aspect of daily life was influenced in some way. After the Civil War, industrialization took on an unpredictable change of events that had a major affect on improving American life. The Industrial Revolution affected farming, manufacturing, and legislatives and led to a increase in the wealth and prosperity of the countries in which it occurred.. First, new and improved methods of planting and harvesting crops, breeding and rearing animals, and fertilizing the land increased productivity. Second, arrival of steam-powered farm machinery meant to replace farm laborers were needed to work the land. Third, Homestead Act, a significant amount of land had been set aside for cheap to migrated families from the west. Farmer were able to own their own home and farm using on their own time and resources, once their obligations to the government were fulfilled in 5 years the land was theirs with no strings attached. Although the war was over and slavery was abolished, nothing changed much for African American. They still had to work for their masters, and were limited to the rights they had...
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...Manufacturing and how employment has in this sector changed over the last 50 years? What we are trying to show and why it is interesting. How do we plan to show it (Definition, Employment Trend( increase upto the 60’s and then the declining share in comparison to the service sector), How is Manufacturing important to the US Economy and why we think that the trend shift to the service sector is not necessarily a bad thing and why a lot of economists are insisting on the manufacturing sector being strengthened, An short explanation of re-distribution of jobs,). • The Demand for manufactured goods in USA has increased. Then, why has the employment in the manufacturing sector gone down? What is Trade-specialization. How does De-industrialization of developed economies take place? Explain it as a predictor of recession in US. • Why Manufacturing jobs are such a point of concern (Multiplier effect, and unskilled labor) Improvements in Technology-their effect on productivity and employment in the manufacturing sector. • How does outsourcing help/harm the manufacturing industry? Does it have a significant effect on employment in manufacturing? • Why hasn’t the economy bounced back from the current slump in manufacturing jobs. What can be done to provide relief to the former manufacturing employees? Stop of new hiring vs. loss of jobs. How are the unions affecting employment? (The last decade vs. World War II data). What the experts (the ones we agree with) think should be done to help...
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...taxes. It is the advisement of the team that the President consider increasing spending for educational programs to unemployed workers to obtain higher paying positions after school. This will in turn take individuals that are not gainfully employed and allow them to learn a trade, go to a community college or obtain a higher-level degree. Lastly, according to the Keynesian perspective, it is strongly suggested that the President lower taxes for the middle class. This should increase the aggregate demand by freeing up cash for families to use. Expectations The U.S. Economy is made up of the following categories of Unemployment, Consumer Income, and Interest Rates. Based on these factors consumers have their own expectations of how the economy should be and the government based on the data that they have privy to have their own expectations of the U.S. economy. In order to get the expert opinions of the U.S. economy, we must look at each category’s projection. According the Bureau of Labor 2012-2022 employment projection report, the total employment rate will increase 10.8 percent during this period. In this report it indicates that the labor force will be a slow growth thus projecting the GDP to increase by 2.6 percent annually. This percentage is “slower than the 3 percent or higher rate often posted from the mid-1990s through mid-2000s”. (Bureau of Labor The first recommendation is based on the Keynesian perspective and addresses government spending and taxes. It is the...
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...10/23/2014 Global Growth Woes Threaten to Beset U.S. Economy - WSJ - WSJ This copy is for your personal, non-c ommercial use only. To order presentation-ready copies for distribution to your c olleagues, c lients or customers visit http://www.djreprints.com. http://online.wsj.com/articles/global-growth-woes-threaten-to-beset-u-s-economy-1413924119 ĚČǾŇǾMỲ Fįvě-Ỳěǻř Řěčǿvěřỳ Fǻčěș Ŀǻțěșț Țěșț ǿf Řěșįŀįěňčỳ ǻș Ěxțěřňǻŀ Șħǿčķș Mǿųňț Bỳ JǾȘĦ ŻŲMBŘŲŇ ǻňđ ŇİČĶ ȚİMİŘǺǾȘ Ǿčț. 21, 2014 4:41 p.m. ĚȚ Țħě șpěčțěř ǿf đěfŀǻțįǿň įň Ěųřǿpě ǻňđ ǻ șŀǿẅđǿẅň įň Čħįňǻ ǻňđ ǿțħěř ěměřģįňģ mǻřķěțș ǻřě țħřěǻțěňįňģ țǿ ħǿbbŀě țħě Ų.Ș. ěčǿňǿmỳ ǻț ǻ țįmě ẅħěň țħě ẅǿřŀđ čǿųŀđ ųșě ǻ řěŀįǻbŀě ģřǿẅțħ ěňģįňě. Șțǿřmș ǻbřǿǻđ ħǻvě țħřěǻțěňěđ țǿ čǻpșįżě țħě Ų.Ș. ěčǿňǿmįč ěxpǻňșįǿň įň ěǻčħ ǿf țħě pǻșț fǿųř ỳěǻřș. Ěǻčħ țįmě, țħě Ų.Ș. ěčǿňǿmỳ ħǻș ẅįțħșțǿǿđ țħě bųmpș—įňčŀųđįňģ țħě ěųřǿżǿňě đěbț čřįșįș ǻňđ țħě Jǻpǻňěșě ňųčŀěǻř đįșǻșțěř—čǿňțįňųįňģ ǿň įțș șŀǿẅ-bųțșțěǻđỳ ģřǿẅțħ țřǻjěčțǿřỳ. Ňǿẅ, țħě ģǻțħěřįňģ ǿvěřșěǻș șħǿčķș ǻřě čǿmįňģ ǻș țħě Fěđěřǻŀ Řěșěřvě běģįňș țǿ pųŀŀ bǻčķ ǿň țħě ěǻșỳ-mǿňěỳ pǿŀįčįěș įț ħǻș ěmpŀǿỳěđ țǿ ǻįđ țħě řěčǿvěřỳ. Ẅħįŀě ǿvěřǻŀŀ jǿb ģřǿẅțħ įň țħě Ų.Ș. ħǻș běěň șțřǿňģ ǿvěř țħě pǻșț șěvěřǻŀ mǿňțħș, țħě ħǿųșįňģ mǻřķěț ħǻș běěň mįxěđ ǻňđ čǿňșųměřș ħǻvě șħǿẅň čǻųțįǿň. Ẅħįŀě țħě ǻģįňģ bųŀŀ mǻřķěț įș ǿffěřįňģ șŀįm pįčķįňģș, ěqųįțįěș ǻřě ěxpěčțěđ țǿ ẅįțħșțǻňđ ģěǿpǿŀįțįčǻŀ čǿňčěřňș. Řųșșěŀŀ İňvěșțměňțș' Șțěpħěň Ẅǿǿđ ěxpŀǻįňș ẅħỳ. Pħǿțǿ: Ģěțțỳ “Țħě Ų.Ș. fǿř ňǿẅ įș ģřǿẅįňģ ǿň įțș ǿẅň, bųț įț čǻňňǿț...
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