Cross Cultural ManagenentEssay Preview: Cross Cultural ManagenentReport this essayInternational TradeInternational trade or world trade affects the entire American economy. The early industrial years of American the economy was based entirely on the exporting goods to other countries, and these exports created the revenue need to sustain the country. America would export more products than it needed this created a surplus in the GDP. This began to change in the 1930?s when the trade began to change and the country began to import more products. This downward trend led the GDP its lowest point in history. In today?s world trade market America?s import percentage is somewhere in the mid-60%. The balance of trade in America today is running in a deficit.
[quote=JACK]I think the real world effects of U.S. trade deficit are fairly similar to those of other countries on a business day value basis. U.S. industries would lose their most lucrative business assets as a result of higher global growth.
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[quote=Nate]An important thing to note is that over the past 40 years the economy developed not only because of a wide range of economic factors but also in part because of global and seasonal trends. What is true in the present economic times is something very different than the economy of an earlier era.
[quote=Pascal]We have some significant changes happening for our country. We need to change the attitude on trade.
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[quote=Roth]I think the primary change from about the 1950s to the present is that Americans have to move faster to find jobs.
[quote=JACK]Because the economy is growing more and more rapidly they?re going to find jobs. And also, it?s important in part to keep up with those job growth rates because we are losing jobs to trade.
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[quote=Pascal]In part, that is because globalization started out with increasing income and wealth. While the income gap is narrowing in part because of those increasing wealth levels, a lot of people in the US think that income is just the result of trade. They aren?t sure exactly what role the world is playing in the development of income gaps. There is a very big gap in the income of the developing world and for many, the United States is at the forefront of this trend which is to do with immigration. That is one cause for concern. We may be able to solve that by expanding trade. But the United States is not at the forefront of this trend for most of the time because it has an ongoing supply chain.
–Cynthia A. Taylor, M.C.A.: “The US has become a trading nation once again to use the economic power of a free market to push its own interests over the interests of everyone around the globe. Those same people have done so as well. I am curious why they have moved on to China in the first place, as it is in the United States. When I look back over the past couple of years, I find that my focus has been on economic policies which, frankly, have changed the course of our trade relationship. No wonder then that China, particularly, has done little to make the world a better place when my policy is to expand trade between our countries. It has allowed us to get stronger with China. I am sure, however, that we may be able to see a change in leadership of China if I use the United States as a platform between our two countries.’ –U.S.A. President Barack Obama: March 31, 2010, interview with the National Geographic Magazine”
That is the part that most people don’t understand. When we look at our economy in the context of this globalizing world, how does the United States of America get what we expect in return? It is more akin to business as usual? And how are those “business owners” treated that they have to pay all of those taxes, that they have to get an unfair advantage over you? It is more difficult to sell goods and services on favorable terms because the U.S. is the only trading nation in the world. A lot of it, however, is due to foreign investment and the U.S. has one major foreign exchange reserve which that is a very strong financial reserve. But then when you have this globalized market, where we have huge amounts of foreign capital that is going to turn in everything from aircraft parts to steel in just a matter of months, so then when you have a world controlled economy, it will get so profitable that you actually have to be pretty tough to exploit that foreign capital, because we have very little that foreign capital which if you understand how foreign funds were invested prior to and after the financial crisis of 2008, that you could move off the face of the earth and be successful in a huge way. And the thing that I get in every major trade negotiation and every trade conference is that the United States in the trade negotiations with China and with India and with South Korea and with other Western nations are like, ‘I’m telling you, these are my policies, they are going to move out to Asia in a matter of months. And then, you know, our own economies have to adjust to those events when we get there and adapt to them and move on to their economies. That may be
[quote=Nate]As an economist, I believe I have a better understanding of globalization than most people. There are two lines of thinking—and there are two paths that different economists like me pursue. There is the one that looks at the process of globalization as an interdependence between the countries, where there is strong national interest in the countries that are being held together. There are the second lines of thinking that look at globalization as a mix of various sources of economic benefit and that is the American people. There are many other interdictions which exist in the international market to create a global system for goods and services. Because of the nature of globalization, we experience a lot of different aspects of globalization. I believe that many people may have different views on globalization and it is important to keep in mind that some factors that are associated with some of the characteristics of globalization in modern times are related to some of the main economic issues that occur in the United States today.
[quote=Mike]What is not obvious to most people is that at some point the U.
[quote=JACK]I think the real world effects of U.S. trade deficit are fairly similar to those of other countries on a business day value basis. U.S. industries would lose their most lucrative business assets as a result of higher global growth.
[/quote]
[quote=Nate]An important thing to note is that over the past 40 years the economy developed not only because of a wide range of economic factors but also in part because of global and seasonal trends. What is true in the present economic times is something very different than the economy of an earlier era.
[quote=Pascal]We have some significant changes happening for our country. We need to change the attitude on trade.
[/quote]
[quote=Roth]I think the primary change from about the 1950s to the present is that Americans have to move faster to find jobs.
[quote=JACK]Because the economy is growing more and more rapidly they?re going to find jobs. And also, it?s important in part to keep up with those job growth rates because we are losing jobs to trade.
[/quote]
[quote=Pascal]In part, that is because globalization started out with increasing income and wealth. While the income gap is narrowing in part because of those increasing wealth levels, a lot of people in the US think that income is just the result of trade. They aren?t sure exactly what role the world is playing in the development of income gaps. There is a very big gap in the income of the developing world and for many, the United States is at the forefront of this trend which is to do with immigration. That is one cause for concern. We may be able to solve that by expanding trade. But the United States is not at the forefront of this trend for most of the time because it has an ongoing supply chain.
–Cynthia A. Taylor, M.C.A.: “The US has become a trading nation once again to use the economic power of a free market to push its own interests over the interests of everyone around the globe. Those same people have done so as well. I am curious why they have moved on to China in the first place, as it is in the United States. When I look back over the past couple of years, I find that my focus has been on economic policies which, frankly, have changed the course of our trade relationship. No wonder then that China, particularly, has done little to make the world a better place when my policy is to expand trade between our countries. It has allowed us to get stronger with China. I am sure, however, that we may be able to see a change in leadership of China if I use the United States as a platform between our two countries.’ –U.S.A. President Barack Obama: March 31, 2010, interview with the National Geographic Magazine”
That is the part that most people don’t understand. When we look at our economy in the context of this globalizing world, how does the United States of America get what we expect in return? It is more akin to business as usual? And how are those “business owners” treated that they have to pay all of those taxes, that they have to get an unfair advantage over you? It is more difficult to sell goods and services on favorable terms because the U.S. is the only trading nation in the world. A lot of it, however, is due to foreign investment and the U.S. has one major foreign exchange reserve which that is a very strong financial reserve. But then when you have this globalized market, where we have huge amounts of foreign capital that is going to turn in everything from aircraft parts to steel in just a matter of months, so then when you have a world controlled economy, it will get so profitable that you actually have to be pretty tough to exploit that foreign capital, because we have very little that foreign capital which if you understand how foreign funds were invested prior to and after the financial crisis of 2008, that you could move off the face of the earth and be successful in a huge way. And the thing that I get in every major trade negotiation and every trade conference is that the United States in the trade negotiations with China and with India and with South Korea and with other Western nations are like, ‘I’m telling you, these are my policies, they are going to move out to Asia in a matter of months. And then, you know, our own economies have to adjust to those events when we get there and adapt to them and move on to their economies. That may be
[quote=Nate]As an economist, I believe I have a better understanding of globalization than most people. There are two lines of thinking—and there are two paths that different economists like me pursue. There is the one that looks at the process of globalization as an interdependence between the countries, where there is strong national interest in the countries that are being held together. There are the second lines of thinking that look at globalization as a mix of various sources of economic benefit and that is the American people. There are many other interdictions which exist in the international market to create a global system for goods and services. Because of the nature of globalization, we experience a lot of different aspects of globalization. I believe that many people may have different views on globalization and it is important to keep in mind that some factors that are associated with some of the characteristics of globalization in modern times are related to some of the main economic issues that occur in the United States today.
[quote=Mike]What is not obvious to most people is that at some point the U.
The U.S. government has created trade agreements the various countries that allow free trade between these countries. This means there are no tariffs, fees or taxes applied toward the good being imported or exported between the countries in the agreement. These countries include Mexico and Canada that create the North American Free Trade Agreement (NAFTA), and Israel. These agreements are not limited to free trade, but other countries such as Jamaica, that need assistance in order to grow economically American has lessened the amount of tariffs need to import good into America.
International trade provides resources that the U.S. does not produce enough of to sustain the country. One of the major imports needed in the U.S. today is oil. This is one of the reasons America has a free trade agreement with Israel. This allows oil to be imported without tariffs. Other products such as cars imported from Japan create import taxes that the government spends on the U.S. economy.
Additionally, the U.S. has imposed restrictions on foreign countries to reduce the flood of goods into the market place. These items include textiles imported from countries that produce these items a much cheaper cost. This decreased cost comes from lower wages paid