...International Trade Speech Jeffrey D. Randolph, Paul Etuk-Udoh, John Benson, Nathan Delguidice ECO 372 May 20, 2015 Elena Zee International Trade Speech Ladies and gentlemen of the press, welcome to the House of Representatives. Today I will discuss some of the more interesting aspects of the United States economy. Economics, of course, is a combination of theories, principles, and models that deal with the distribution of scarce resources, as it relates to human wants and needs (Dictionary, 2015). This is more commonly referred to as Macroeconomics. I will focus on some key areas involving international trade and foreign exchange rates and how all of this can affect the US economy as a whole. Imports are goods or services brought into the Unites States from another country. Exports are goods and services sold to other countries from the United States. When the U.S. runs a surplus on imported items it means that the United States are bringing in more goods then they are able to sell to other countries. When this happens the U.S. runs a trade deficit. This can be good for consumers because when there is a surplus of products then the price of those products will begin to drop in an attempt to sell the goods faster. This is the case when the quantity of items is not being sold fast enough, the longer a product is held the more money it costs, by lowering price the products will sell which will lower storage cost as well as free up space for new items. Many...
Words: 1340 - Pages: 6
...International Trade Speech ECO/372 July 29, 2013 International Trade Speech Welcome all reporters to the White House. I have been appointed with the task of getting everyone familiar with the current state of the U.S. microeconomic situation. I will focus on international trade and foreign exchange rates in an attempt to clarify the United States position now and in the future. Macroeconomics involves thinking about the economy as a whole, rather than the actions of an individual and focuses on output, money, and expectations of the economy. Imports are goods or services brought into the Unites States from another country. Exports are goods and services sold to other countries from the United States. When the U.S. runs a surplus on imported items it means that the United States are bringing in more goods then they are able to sell to other countries. When this happens the U.S. runs a trade deficit. This can be good for consumers because when there is a surplus of products then the price of those products will begin to drop in an attempt to sell the goods faster. This is the case when the quantity of items is not being sold fast enough, the longer a product is held the more money it costs, by lowering price the products will sell which will lower storage cost as well as free up space for new items. Many may argue that a surplus in imports can be a good sign because it proves that the United States is on the rebound since Americans are able to purchase more goods...
Words: 998 - Pages: 4
...International Trade Speech ECO/372 April 27, 2015 International Trade Speech When you think about trade or precisely international trade, what do you see? Is it a group of people meeting out on a boat in the middle of the ocean trading scarves for leather? Is it maybe business conducted on an airplane somewhere between two countries and the plane doesn't land until an agreement is reached? Things like this people might wonder about when looking into international trade. What is it really? How does it happen? What is the cost? Why is it that the United States (U.S.) does not trade with some of the biggest countries? Tariffs and Quotas For every action or policy that a government makes, there is a reaction or result. The government is responsible for setting policies on foreign trade that directly affects international relations. Some of these decisions have a positive effect while others result in a negative feeling. Tariffs and quotas are some of the tools that the government uses to control international relations and trade. Tariffs are a fee in the form of a tax on foreign goods that the government charges the importer (Colander, 2013). This allows goods to come into the country but raises the price of those goods slightly. Quotas are another choice that the government can enforce that affects international relations and trade. Quotas are a limit placed on the quantity of imports coming into the country (Colander, 2013). Both quotas and tariffs are used to control...
Words: 1077 - Pages: 5
...International Trade and Finance Speech By Manny Ramirez September 23, 2013 Good afternoon, Economics is known as the study of the production and consumption of goods and the transfer of wealth to produce and obtain those goods. Today presentation we will be talking about the economy, and the importance of economics and how it can affect the United States. We will also be discussing about the Gross Domestic Product, surplus, and international trade as it relates to macroeconomics and the United States economy. Surplus of Imports When the issue of having a surplus of imports brought into the United States, it causes the price of that product to drop. This is due to having too much inventory to go around causing the price to drop. When this happens and to much inventory is imported, the sellers will have to sell the import then less of the cost to make. This is where the lost in profit comes from. Now when a country exports more then imports, this creates a balance of trade or trade surplus. A country may have a trade deficit when it exceeds in exports. A great example to refer to is the trade surplus with China. According to Bergsten, F. (2006) “China became the largest single source of the United States global deficit in 2003. U.S. imports from China are now almost six times as large as U.S. exports to China.” Effects of International Trade to GDP, Domestic Markets and University Students In the recent years, foreign trade has become extremely important...
Words: 831 - Pages: 4
...International Trade Speech Good evening ladies and gentlemen: Today we will discuss the United States economy by addressing the effects of import surpluses and regulation, effects of international trade on GDP, domestic markets, and university students, tariffs, quotas, and foreign exchange rates. Imports may come from any country. Surplus of Imports When a surplus of imports is allowed to enter the U.S., the prices of those imports decline due to a decrease in demand. Companies may be forced to sell those goods at reduced prices which will decrease profits and stability. As of December 2012, U.S. food exports totaled $133 billion and imports totaled $110 billion ("Food Safety News", 2013). Currently, the U.S. has an increasing trade deficit in fresh fruits. Cranberry growers in the United States are battling steep surpluses and declining prices, along with increased competition from Canadian and overseas producers ("Fruit Growers News", 2013). GDP and International Trade, Domestic Markets, and University Students Increasing U.S. exports and imports may have beneficial and detrimental effects on the economy. Exporting goods and services from our country will create income here at home, which supports GDP. In contrast, imports create income for foreign countries. Ultimately, the goal in international trading should be decreasing the gap between the import and export percentages while supporting economic. The same applies to the way in which international trade affects...
Words: 1089 - Pages: 5
...INTERNATIONAL TRADE & FINANCE SPEECH 1 International Trade & Finance Speech Jose L. Sandoval Jr. ECO/372 September 30, 2013 Howard Blitz INTERNATIONAL TRADE & FINANCE SPEECH 2 International Trade & Finance Speech Good evening Ladies and gentlemen of the press; this evening I will define what economics is and when there is a surplus of imports brought into the U.S, The effects of international trade to Gross Domestic Product (GDP), domestic markets and university students, Government choices in regards to tariffs and quotas affect international relations and trade, What are foreign exchange rates, How are they determined, Why doesn’t the U.S. simply restrict all goods coming in from China, and final Why can’t the U.S. just minimize the amount of imports coming in from all other countries. The economics is the study of how people choose to use resources. Resources are considered as time and talent people have available, the land, buildings, equipment, and other tools on hand, and the knowledge of how to gather them to create useful products and services. The choices that are more important are how much time to devote to work, to school, and time to relax or spend with family. Also what are important are how many money to spend and how much to save, how to put together resources to produce goods and services, and how to vote and shape the level of taxes and the role of government. When a surplus of imports brought into the United State the surplus and deficit in the...
Words: 994 - Pages: 4
...International Trade and Finance Speech ECO 372 DO NOT Plagiarize this is simple for guidence International Trade and Finance Speech In the United States international trade is an important aspect when it comes to our nation’s economy. Over the years the nation’s economic responsibility has changed from being creditors to debtors. With this change it has affected the layout of our global economy and with the advancement of our technology it has enhanced the amount of trade done between countries all over the world. With the abundance of goods imported into the United States it has provided us with a surplus. Surplus is typically used to aid in slowing down the economy and balancing out the deficits. When surplus of imports are brought into the United States a deficit is created due the balancing of the trade. According to "United States International Trade Commission" (n.d.), there are three foreign imports that entered into the United States over the years and they are electronic products, transportation equipment and energy-related products. From 2011 to 2013 these three imports from foreign countries have steadily increased. Out of the three imports two of them have been beneficial when there was a change in the economy. During a time period, we had issues within the housing market and agencies were losing money because consumers were unable to afford their mortgages. When it comes to the Gross Domestic Products (GDP) the international...
Words: 968 - Pages: 4
...International Trade and Finance Speech International Trade and Finance Speech Ladies and gentleman, today I will address the state of the U.S. macro economy. The main focus of today’s speech is international trade and foreign exchange rates. Today’s topics include what happens during a surplus of imports, the effects of international trade, government choices in regards to tariffs, how foreign exchange rates are determined, and why the U.S. does not simply restrict all goods coming from China. Surplus of Imports There are different opinions about what happens when there is a trade surplus. Some believe that deficits have little to no impact on economic growth (CATO Institute, 2007). According to the CATO Institute when imports grew by up to 0.5 percent economic growth also grew by an average of 2.1 percent. The most popular belief is a surplus of imports drives down pricing, which is great for consumers but hurts domestic companies. Domestic companies have to cut pricing in order to compete with the prices of foreign companies. Many manufacturing jobs have been eliminated due to the surplus of imports into the U.S. One example is the U.S. auto parts industry. Chinese auto-parts imports to the U.S. increased more than 900 percent from 2000 to 2010 (EPI, 2012). Financially speaking auto parts deficit increased from 9.5 billion in 2000 to 31.2 billion in 2010. This also created a loss of jobs totaling 419,600 in the 10 year span. Effects of International Trade...
Words: 977 - Pages: 4
...International Trade and Finance Speech ECO/372 September 23, 2013 International Trade and Finance Speech According to (Colander, 2010, p. 505) a surplus means when a country “produces more than what it consumes.” “Countries that enjoy a trade surplus have more money flowing in than out. This includes both money for the products the country exports and the money spent by foreign visitors” (Wisegeek, 2013, p. 1). The effect of trade surplus in a nation indicates it has more control over its own currency. In some ways the United States and Japan are major competitors in the market of international trade (Encyclopedia of Nations, 2013). Each, country produces many of the same goods, for example Toshiba’s major competitor in personal computers is Dell (Dell computer corporation, 1997). Toshiba is a product Japan imports to the United States. A surplus would be created, depending on the current interest and exchange rate in the United States. After the emergence of the World Trade Organization, and according to their site (WTO, 2013) is designed to “deal with the global rules of trade between nations. Its main function is to ensure that trade flows smoothly, predictably, and as freely as possible.” From inception the volume of international trade has increased and participating countries actively trade to push their product. The intent of this speech will be to explain what happens during a surplus of imports into the United States, the effects of international trade to gross...
Words: 1228 - Pages: 5
...International Trade and finance speech International Trade and finance speech It is a general inaccuracy with the meaning of importing goods to America is the expenditure of American jobs. In reality, imports provide many job creations on a huge scale; the increased economic action associated by means of every step of the import advancement millions of jobs in the U.S are helped increase. The Heritage Foundation states that with the intention of this over half of American jobs are maintained by imports like clothing as well toys and other goods from China. These jobs are held in fields like transportation, retail, wholesale, construction, and finance. Appreciative the encouraging is role of imports with revere to jobs, in addition to their supplementary benefits, is critical to adopting the approved trade course of action and as a result to strengthen the economy. According to the Census Bureau, the United States imported just about $382 billion of merchandise from China in 2010, approximately 20% of the entire American imports that year. A number of people quarrels that massive quantities like this imply that the U.S.is losing a lot of employment to China. Variations of this disagreement are found and all are seriously blemished. First they depend on false information; next they get the wrong idea of the fundamental impact of selection and opposition, and finally confuse the impacts of modern trade with a solitary nation (more often than not China) by means of the multi-generation...
Words: 898 - Pages: 4
...International Trade and Finance Speech ECO/372 July 15, 2013 The current state of the U.S. macro economy is made up of a plethora of highly involved processes. I am going to attempt to explain some simple terms and concepts focused on international trade and foreign exchange rates. Foreign Exchange Rates One needs to have a base level understanding of what defines an exchange rate. According to Investopedia, a foreign exchange rate is “The price of one country's currency expressed in another country's currency. In other words, the rate at which one currency can be exchanged for another.”(Investopedia, 2012) The process by which foreign exchange rates are determined is really not any different than any other market function. The supply and demand for different goods determine what their prices are. In this case, substitute currencies for goods. Let us take the case of one foreign currency to understand how this market works. The dollar-rupee exchange rates will depend on how the demand-supply balance moves. When the demand for dollars in India rises and supply does not rise correspondingly, each dollar will cost more rupees to buy. A foreign exchange rate understanding will help one to comprehend how trade between the US and foreign countries affects the GDP. International Trade and GDP First of all, Gross Domestic Product (GDP) is the representation of the total dollar value of...
Words: 903 - Pages: 4
...International Trade and Finance Speech Ralna McKenzie ECO 372 December 2, 2013 Dr. Sharon Bush Good morning, and welcome to the United States economic status summit meeting. I am Ralna McKenzie, the Speaker of the House of Representatives for the United States of America. I would like to welcome you all, and I hope you find that the information that you receive in this meeting will answer all or at least most of your questions regarding the importance of international trade and foreign exchange rates and how this helps stimulate our economy as well as the economy of our foreign constituents. I am sure that many of you may understand the importance of international trade and how it affects each country that is involved by providing currency control, which lets you know that “Economic Stability is prevalent at the time”. However when the United States experiences a surplus of imports, this is not the ideal situation for economic stability. This concept can be easily comprehended by understanding “United States or any other country buying more goods (importing), then selling (exporting) will keep us in the deficit.” For example, let’s look at the total amount of imports and exports that the United States has with our neighboring country of Canada. So far for the current year of 2013, Canada has exported $ 323,936,455.00 worth of goods and services to the United States. These key imports consist of crude, other petroleum products and fuel oil. Now let’s look at how much in...
Words: 1050 - Pages: 5
...International Trade and Finance Speech By: Lauren Peters February 27, 2014 ECO/372 Hello every one today we will be discussing the United States macro economy. I will go into some detailed avenues helping to break down and explain everything into laymen’s terms. I hope from today’s interview you are able to get the information you need for your article. I am going to be discussing the government’s surplus of imports, international trades and affecting the GDP along with domestic markets, and university students, Government choices on tariffs, and quotas, foreign exchange rates, and why we don’t restrict goods imported from China. I will break down into answering and addressing each of these issues, and question that you all are wondering and having questions about. You probably are all wondering what happens when there is a surplus of imports brought into the United States? When we have surplus and a deficit within the economic trading community, it must maintain a balance. When an import surplus happens this creates a trade deficit. This means that the country is consuming more than it produces and exports. Since we are discussing our economy the United States has issues of consuming certain products than what it does in exports. For Example we have a high demand for gasoline within our country. This opens us up to inflation on gasoline prices, and price gouging due to the high demand and consumption of gasoline within this country. Since this type of product is imported...
Words: 750 - Pages: 3
... International Trade and Finance Speech What happens when there is a surplus of imports into the U S? A surplus of imports is good for consumers but bad for local business. We have to produce and manufacture in order to export. As our export trade shrinks, so does our workforce and economy. The surplus of imported cars for 2012 has exceeded the exportation by $152 billion. Also the shelf life of cars is 1 year. Every year at the end of the cycle the existing models are sold off at huge discounts to make room for the new models, which is good for the consumer. What are the effects of international trade to GDP, domestic markets, and university students? International trade comprises exports and imports, the net result of which affects our GDP. Since our imports exceed our exports, our GDP would be impacted by our net exports or deficits. “The rippling effect of financing deficits is an increase in interest rates from selling bonds that reduces investments and growth. This further reduces GDP” (Colander. 2010). Domestic markets flourish when there is a demand for local products overseas. If the domestic markets have to compete with imported products it could be a struggle. However jobs can be created for the advertising, sales, and distribution of foreign imports. The effect of international trade on university students has recently brought about an awareness of a vibrant industry in the education services. Of the 35 billion dollar worldwide market for international students...
Words: 1065 - Pages: 5
...International Trade and Finance Speech Thank you for attending this conference today. My name is _____, and as a Speaker of the House, I will discuss the current state of the United States macroeconomy. I will further explain topics including the current surplus, effects of international trade in the U.S., tariffs and quotas, foreign exchange rates, and why the U.S. imports. United States Imports Surplus International trade and finance are an important part of the United States’ economy, accounting for a large part of the Gross Domestic Product. In the last three decades, the U.S. has incurred a trade deficit from importing more products than it exports (Colander, 2010). The largest sector of imports is industrial supply products representing 32% of total imports Trading Economics, 2014). This includes products such as, crude oil, steel, natural rubber, and other various raw and man-made materials required for industrial and commercial industries (United States Census Bureau, n.d.). The surplus of imports affects U.S. businesses and consumers differently. Domestic companies can be negatively affected if it is unable to remain competitive with their international counterparts. As I mentioned previously, the U.S. imports a large number of raw materials used for industrial supplies. Domestic companies have lost profits and released employees due to lack of demand for their goods or services. This also negatively affects American workers who lose their employment and...
Words: 1088 - Pages: 5
