...main firms that compete in this market in the United Stated. These firms are Procter and Gamble and Colgate Palmolive which represent the majority of the market share in the United States. Finally, it is found that innovation is a key factor in monopolistic competition because it represents the ability to differentiate products and attract more consumers. The main conclusion drawn from this paper is that the monopolistic competition is the most common model in the United States and the technology and innovation advances have allowed organizations to reach these types of markets and maximize profits. Venezuela vs. United States Economy Have you ever though why some countries are richer than others? Or what there is inequality among countries? All those answers are related to the economy of a country and their macroeconomic indicators. Today, macroeconomic is a crucial concept that we can see every day in the news; employment, inflation, and growth are some of those economy indicators. (1) But it is not so easy to say why a country is richer than other; or why the economy of a country with one of the highest reserve of oils does not have a good economic performance as other countries have. It does not depend on one only thing, there are several factors that increase the gap between two countries in terms of economic development and growth. This paper develops a comparative case study to illustrate the performance economy of two countries, and the level of income disparity...
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...on the United States Economy Immigration has long been a hotly debated political issue in the United States, especially when it comes to illegal immigration. Because it is a nation of immigrants, immigration has always been very important in shaping the United States. Today, widespread immigration to the United States both legal and illegal continues to have a variety of effects. Most economic historians believe the effects of immigration have been much less harmful than commonly supposed and, in many ways, have been beneficial. Positive Economic Effects Immigration provides several economic benefits to the United States. The argument for the free movement of labor among nations is exactly the same as the argument for the free movement of labor among the sectors of the domestic economy. Suppose an economy produces only two goods, X and Y. If demand for good X picks up, the demand for labor used to produce X rises as the marginal revenue product of labor employed in the production of X increases. Labor will move out of the production of good Y if and only if its productivity is higher in X in terms of the value of output. This movement ensures efficiency. Recall the simple definition that an efficient economy produces what people want at least cost. Those who favor a looser policy believe immigrants do not displace U.S. workers but rather take jobs that Americans do not want. Immigrants serve as domestics and low-wage farm workers producing things that the United States needs...
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...take place it would it automatically eliminate a numerous amount of great opportunities and achievements that the United States economy has worked so hard for, for so long. Loss of national sovereignty being a tremendous downfall for the United States economy being that the whole goal of the United States were to be independent. In such a union, not every member country is as strong or weak as the others economically or structurally. Meaning right now the United States as well as other countries have certain boundaries and threshold within their economic systems. The level of co-operation needed in such a union has to be very high to deal with a host of issues including inflation, interest rates and asymmetric shocks (for example an oil shock impacting one of the member countries may not necessarily impact the other). Meaning that if anything happens in other countries we will automatically be directly affected due to the fact that we all have the same currency. As of now with most countries not having the same currency we can help one another. Right now Euro is worth a lot more than the United States dollar. Everything is temporarily which means that depending on the time that the United States decides to peg their currency with euro determines the out outcome. It depend on how the European economy is doing at the time compared to the United States economy. If we all have the same currency we are asking for trouble, because of the language barrier between each country...
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...A capitalistic economy, like that of the United States, produces big winners but also big losers. This is simply the nature of the system. However, our government has created social safety nets to catch those who have fallen into poverty, like welfare and social security. The American government has done all that it can do in order to assist those in poverty. At one point the impoverished individual must take action and utilize our capitalistic economy in order to sustain a better quality of life. My parents brought me into the world when they were only eighteen and nineteen years old. This mistake made life very hard for the two of them considering they only had high school diplomas and came from families that did not have the means to assist them. At the time of my birth my father was burdened with being the sole breadwinner in the house. This, of course, brought financial strains onto my family. My parents did seek government assistance, but they were determined to climb the economic ladder and create better lives not only for themselves, but me and my two younger sisters as well. My father pursued a career in construction all while taking night classes at the local...
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...HAIDAR H. HAMOUD WEEK 5: ASSINGMENT 2 MKT 505/ STRAYER UNEVERSITY DR. JEAN GORDON APRIL 5, 2011 American and European companies look at Cuba as a fresh market that would become a great venture for short and long term investments. However, the United States and Cuban affairs never condensed the high tension that was started in 1959. The economical siege started with the trade restriction dilemma between the U.S. and Cuba in 1959 when Fidel Castro took over the government in Cuba. Fidel Castro first action, as a young leader for the newest communist nation, was taking over all private sector businesses and properties including those were owned by American inverters. Castro disregarded all negotiation attempts and refused to reimburse the original owners; simply he seized all private sector properties and businesses using military forces costing many U.S. inverters to lose millions of dollars in 1959. Those properties were estimated to be around 1.8 billion dollars or about 6 billion dollars in present’s day (Keegan & Green, 2011). In response to the United States political and economic pressure on the Cuban regime, during the cold war, Cuba joined the other side of the battle by becoming an ally of the Soviet Union to take advantage of the Soviet Union economic and military aids. As a fee for such aids, Fidel Castro had to allow the Soviet Union to place nuclear armed short and mid-range missiles in Cuba which grabbed the U.S attention. The Soviet Union nuclear...
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...Canada is Dependent on the Economy of the United States Canada’s economy relies heavily upon the U.S economy when it comes to international trade, foreign investment, and jobs. They share the biggest trading relationship in the world with almost 2 billion dollars’ worth of products crossing the border every single day. The stock market consists mostly from the companies located in the U.S. Who obtain natural resources from Canada. Our southern neighbor is the biggest foreign investor in Canada; in addition 1 out of 5 jobs in Canada are linked to international trade. In conclusion if anything were to happen to the economy of the United States it would affect our economy as well. Canada is a member of the G8 and has the 7th largest economy in the world. U.S is very important to us, considering the fact that about 70 percent of the population lives 200 Miles away from the boarder. Trade is essential; Canada is blessed with a huge oil resource, the second largest after Saudi Arabia (Canada’s economic overview, Par4). We are also the second largest country after Russia. We are known worldwide as a very diverse country, top when it comes to economics and occupies a lot of land. Trade of natural resources and different products is very important to keep Canada at the top. The United States of America and Canada share the biggest trade relationship in the world. U.S accounts for 73% of all exports and 63% of all imports in Canada. When NAFTA (North American Free Trade Agreement)...
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...Over many years, there have been debates about whether the economy is affected by pollution. There are many different sides of the debate, but two compelling sides that turn different ways could answer the question. Some stating that the economy is directly affected by these gasses while others say that by emitting gases, the economy would improve. This essay will evaluate the outcomes of pollution and determine to what extent does pollution affect the United States economy? Pollution is a huge problem in America and is said to have a negative effect on human health as well as the economy. According to the Washington-based think tank, they state that if America used their resources wisely, and wiped out the greenhouse gases, our economy would...
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...Agriculture effects the economy, sustains natural resources, and is food, shelter, and clothing. Agriculture has many impacts on this country. Plants make chlorophyll which makes oxygen that we all breathe.Agriculture is also very important in our culture.In the next paragraph, you will learn how the economy is effected by agriculture in the U.S. Agriculture impacts the economy in many ways. Consumers spend 547 billion dollars on food originating from farms in the United States. Wisconsin's farms generate more than 88.3 billion dollars every year. The economic crisis from 2008-2009 had a major effect on agriculture. The better our agriculture is the better our economy is. 54% of laborers are in agriculture. 13.9% of the share in GDP is held by the agriculture sector. In agriculture 44% of our exports are related to agriculture. Farmers grow food, then people buy the food from the grocery store and the grocery store makes money off of it. With emphasis on agriculture, food security can be achieved. Agriculture will be a rising industry, as long as the human stomach feels hunger. There was 390 billion dollars in the total cash receipt for farms last year. The effect that agriculture has on the economy is very great. Natural resources are very important in our daily lives....
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...The Federal Reserve controls the economy of the United States through a variety of tools. They use these tools to shape the monetary policy of the United States in order to promote economic growth and reduce the rate of inflation and the unemployment rate. By adjusting these tools, the Fed can control the amount of money in the supply. By controlling the amount of money, the Fed can affect the macro-economic indicators and steer the economy away from runaway inflation or a recession. The Federal Reserve The Federal Reserve uses three main tools in order to control the money supply. The first tool is open-market operations. These operations consist of the buying and selling of government bonds to commercial banks and the public. Open-market operations are the most important tool that the Fed can use to influence the money supply (Brue, 2004, p. 252). By buying bonds from the open market, the Federal Reserve increases the reserves of commercial banks that in turn will increase the overall money supply in the country. The opposite is true if the Fed sells bonds on the open market. By doing so, the Fed reduces the reserves of banks and, in turn, takes money out of the system. By being able to control how much money the commercial banks can lend, the Fed has a very powerful tool to adjust the economy. The second tool in the Federal Reserve’s arsenal is the adjustments of reserves ratio. The reserves ratio is the required amount in which a bank must have at all times. By raising...
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...International Trade ECO201: Macroeconomics Tiffany Rice Argosy University According to the USDC (2013), the trade balance between China and the United States for the most recent five year period is: i. 2015 - negative 365,694.5 million dollars ii. 2014 – negative 343,078.8 million dollars iii. 2013 – negative 318,713.2 million dollars iv. 2012 – negative 315, 102.5 million dollars v. 2011 – negative 295,249.7 million dollars (USDC, 2013). According to Colander (2008), foreign trade between two countries can impact many things among each country such as income, prices, interest rates and trade policies. The U.S. and China appear to have used one of the two approaches in the exchange rate system regarding currency of their nations, known as the flexible exchange rate. The flexible exchange rate is a type of exchange rate that is determined by the market rather than the government and is freely allowed to go whichever way it likes to determine an equilibrium value, which is impacted by supply and demand of currency (Colander, 2008). The reason I believe that a flexible exchange rate was used between the U.S. and China is because of the various differentiating amounts of the trade balance between these two countries. The balance of payments is a summary that contains records of financial transactions. There are two types of transactions that are recorded in the balance of payments, which include the current account and the...
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...Fiscal Policy The status of the United States has an effect on society. The U.S. deficit, surplus, and debt affect society in many ways. One does not take the time to see the impact it has on civilization. The status of the United States has an impact on tax payers, future Social Security and Medicare users, unemployed individuals, students, exporters, importers, and most of all, the country’s Gross Domestic Product. In the following, the team will discuss how the U.S. deficit, surplus, and debt affect society, not only in the United States, but also around the world. Tax Payers The influence of fiscal policy changes scheduled to occur at the end of 2012 can poses serious challenges for tax payers. One area where high tax payers are disagreeing is the increase in tax rates resulting part due to the 2001 and 2003 tax cuts. President Obama has asked for the reinstatement of the higher top tax rates in his budget submission to the Congress. The increase in the Medicare tax and its expansion to unearned income for high income earners under the Patient Protection and Affordable Care Act of 2010 also contributes to the increase in top tax rates. The concern over the top individual tax rates has been a focus because of the special role played by flow-through businesses like S corporations, partnerships, limited liability companies, and sole proprietorships. These businesses employ 54% of the private sector workforce and pay 44% of the federal income taxes. Higher taxes result...
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...Different states have set up programs to help firms allocate money to provide upgrades to their businesses in form of renewable energy. These state programs are only available to people who live in that particular state. The uprising of these state run programs help keep out international investors. The country of China is investing in the oil and energy market in the United States. This hurts the United States economy because it is taking money out of the American economy and putting it in China’s economy. During a financial crisis it is important to keep funds in the United States economy and not other countries. The United States manufacturing sector produces about 12 percent of the gross domestic product in the United States. The United States manufacturing plants produce 20 percent of the world manufacturing needs ( U.S. Department of Energy, n.d.). Manufacturing factories use a lot of energy. In the 21st century we are seeing a move to conserve energy by way of renewable energy. This move will not only save energy but save money spent on energy. The government of the United States has a good amount of renewable energy projects that they are working on in many of the states. These projects are only granted to people who live in that particular state. It is important that the United States manufacturing firms keeps investing and loaning money to their states to complete these energy projects. These projects will help cut international investors out of the United States manufacturing...
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...Underage Drinking and the its Effects on the Economy In America underage drinking has many negative effects on the United States economy. Underage drinking cost the United States economy because of injuries, and or deaths resulting from drinking. Other incidents that cost the United States economy money are traffic accidents, school failures, or even unwanted pregnancies. In total underage drinking coast the United States 4.7 million every hour, 105 million every day, and above 53 billion dollars annually. With underage drinkers starting at thirteen to fourteen, the United States has seen an impact form underage drinkers at colleges all across the nation. With that being said in one year, there were 1400 student deaths, 500,000 injuries, and 70,000 cases of sexual assaults. The Center of Alcohol and Substance Abuse says that about 25 percent of all the alcohol consumed in the United States is from underage drinkers. In many cases, underage drinkers will become addicted to alcohol after they have started to drink the substance. Considering that drinking is one of the three leading causes of deaths in America, besides suicide and homicide, the United States needs to become more aware of this deadly abuse. At least 10.7 million people throughout the Unites States, between the ages of 12 and 17 drink an alcoholic beverage before they reach the age of 21. With this being said, the consumption of alcoholic beverages...
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...ECN 211 Essay 1 October 3, 2013 The United States Economic Revolution Over the last two centuries, the United States economy has grown to be the largest in the world. According to many Americans and foreigners “America is the sole superpower and has one of the highest standards of living in the world” (Slavin 1). Natural resources, immigrants, and innovations all contributed to the strong and fast-growing United States economy. The United States was blessed with a considerable amount of natural resources. It was once under a great sea, which creating a richness of oil. The United States had huge reserves of oil that were easily accessible. As World War I was brewing, the United States converted its coal-burning Navy ships to oil-burning ships. Oil made ships faster, extended their range and allowed easier refueling. Oil was also easily available on the West Coast, allowing the Navy to extend its reach across the Pacific. In 1920, America supplied two-thirds of the world's oil production. By 1925, oil accounted for nearly one-fifth of the United States energy consumption, growing to one-third of energy consumption by World War II. Other countries only used oil as a secondary fuel, and it accounted for less than ten percent of their energy consumption (Amadeo). Oil and natural gas companies provide well-paying jobs, revenue to governments and investment growth for millions of Americans. Even with a struggling economy, like we have seen in the last few years, oil...
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...Analysis: Debt-to-GDP ratio – United States compared to Germany Econ 201 Alexandria Walker University of Maryland University College Professor Mensah-Dartey Analysis: Debt-to-GDP ratio- United States compared to Germany United States Debt- to-GDP ratio In the last year the United States has painfully reached the net public debt to GDP ratio of 100 percent. This would be the federal government’s accumulated debt that is equal or has actually surpassed the United States Gross Domestic Product in 2010. After the debt ceiling limit was passed, the Treasury borrowed $238 billion in 2010. This brought public debt to $14.58 trillion dollars, slightly higher than the United States GDP in 2010, which was $14.54 trillion. It is believed that this is purely a domestic political issue. The international ramifications of the growing national debt are equally as important the domestic ones. After all, the United States primary creditors are overseas. The United States economy forms the bedrock of the global economy. Washington has the largest and most diverse economy in the world. Its currency is even more important, as the dollar is the currency used in most international transactions. This economic disaster stems from a troublesome history. The history of modern civilization is unique in that it contains some very simple figures that always act as causation for a certain result. In the case of debt, what is clear is that any country who sees its debt...
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