U.S. Economy
Информация - Экономика
Другие материалы по предмету Экономика
eneral answer is that the citizens of the United States have elected representatives who have voted to increase government spending on a variety of programs and to approve the taxes required to pay for these programs.
Actually, government spending has increased since the 1930s for a number of specific reasons. First, the different branches of government began to provide services that improved the economic security of individuals and families. These services include Social Security and Medicare for the elderly, as well as health care, food stamps, and subsidized housing programs for low-income families. In addition, new technology increased the cost of some government services; for example, sophisticated new weapons boosted the cost of national defense. As the economy grew, so did demand for the government to provide more and better transportation services, such as super highways and modern airports. As the population increased and became more prosperous, demand grew for government-financed universities, museums, parks, and arts programs. In other words, as incomes rose in the United States, people became more willing to be taxed to support more of the kinds of programs that government agencies provide.
Social changes have also contributed to the growing role of government. As the structure of U.S. families changed, the government has increasingly taken over services that were once provided mainly by families. For instance, in past times, families provided housing and health care for their elderly. Today, extended families with several generations living together are rare, partly because workers move more often than they did in the past to take new jobs. Also the elderly live longer today than they once did, and often require much more sophisticated and expensive forms of medical care. Furthermore, once the government began to provide more services, people began to look to the government for more support, forming special interest groups to push their demands.
Some people and groups in the United States favor further expansion of government programs, while others favor sharp reductions in the current size and scope of government. Reliance on a market system implies a limited role for government and identifies fairly specific kinds of things for the government to do in the economy. Private households and businesses are expected to make most economic decisions. It is also true that if taxes and other government revenues take too large a share of personal income, incentives to work, save, and invest are diminished, which hurts the overall performance of the economy. But these general principles do not establish precise guidelines on how large or small a role the government should play in a market economy. Judging the effectiveness of any current or proposed government program requires a careful analysis of the additional benefits and costs of the program. And ultimately, of course, the size of government is something that U.S. citizens decide through democratic elections.
IXIMPACT OF THE WORLD ECONOMY Today, virtually every country in the world is affected by what happens in other countries. Some of these effects are a result of political events, such as the overthrow of one government in favor of another. But a great deal of the interdependence among the nations is economic in nature, based on the production and trading of goods and services.
One of the most rapidly growing and changing sectors of the U.S. economy involves trade with other nations. In recent decades, the level of goods and services imported from other countries by U.S. consumers, businesses, and government agencies has increased dramatically. But so, too, has the level of U.S. goods and services sold as exports to consumers, businesses, and government agencies in other nations. This international trade and the policies that encourage or restrict the growth of imports and exports have wide-ranging effects on the U.S. economy.
As the nation with the worlds largest economy, the United States plays a key role on the international political and economic stages. The United States is also the largest trading nation in the world, exporting and importing more goods and services than any other country.. Some people worry that extensive levels of international trade may have hurt the U.S. economy, and U.S. workers in particular. But while some firms and workers have been hurt by international competition, in general economists view international trade like any other kind of voluntary trade: Both parties can gain, and usually do. International trade increases the total level of production and consumption in the world, lowers the costs of production and prices that consumers pay, and increases standards of living. How does that happen?
All over the world, people specialize in producing particular goods and services, then trade with others to get all of the other goods and services they can afford to buy and consume. It is far more efficient for some people to be lawyers and other people doctors, butchers, bakers, and teachers than it is for each person to try to make or do all of the things he or she consumes.
In earlier centuries, the majority of trade took place between individuals living in the same town or city. Later, as transportation and communications networks improved, individuals began to trade more frequently with people in other places. The industrial revolution that began in the 18th century greatly increased the volume of goods that could be shipped to other cities and regions, and eventually to other nations. As people became more prosperous, they also traveled more to other countries and began to demand the new products they encountered during their travels.
The basic motivation and benefits of international trade are actually no different from those that lead to trade within a nation. But international trade differs from trade within a nation in two major ways. First, international trade involves at least two national currencies, which must usually be exchanged before goods and services can be imported or exported. Second, nations sometimes impose barriers on international trade that they do not impose on trade that occurs entirely inside their own country.
AU.S. Imports and Exports
U.S. exports are goods and services made in the United States that are sold to people or businesses in other countries. Goods and services from other countries that U.S. citizens or firms purchase are imports for the United States. Like almost all of the other nations of the world, the United States has seen a rapid increase in both its imports and exports over the last several decades. In 1959 the combined value of U.S. imports and exports amounted to less than 9 percent of the countrys gross domestic product (GDP); by 1997 that figure had risen to 25 percent. Clearly, the international trade sector has grown much more rapidly than the overall economy.
Most of this trade occurs between industrialized, developed nations and involves words kinds of products as both imports and exports. While it is true that the U.S. imports some things that are only found or grown in other parts of the world, most trade involves products that could be made in the United States or any other industrialized market economies. In fact, some products that are now imported, such as clothing and textiles, were once manufactured extensively in the United States. However, economists note that just because things were or could be made in a country does not mean that they should be made there.
Just as individuals can increase their standard of living by specializing in the production of the things they do best, nations also specialize in the products they can make most efficiently. The kinds of goods and services that the United States can produce most competitively for export are determined by its resources. The United States has a great deal of fertile land, is the most technologically advanced nation in the world, and has a highly educated and skilled labor force. That explains why U.S. companies produce and export many agricultural products as well as sophisticated machines, such as commercial jets and medical diagnostic equipment.
Many other nations have lower labor costs than the United States, which allows them to export goods that require a lot of labor, such as shoes, clothing, and textiles. But even in trading with other industrialized countrieswhose workers are wordsly well educated, trained, and highly paidthe United States finds it advantageous to export some high-tech products or professional services and to import others. For example, the United States both imports and exports commercial airplanes, automobiles, and various kinds of computer products. These trading patterns arise because within these categories of goods, production is further specialized into particular kinds of airplanes, automobiles, and computer products. For example, automobile manufacturers in one nation may focus production primarily on trucks and utility vehicles, while the automobile industries in other countries may focus on sport cars or compact vehicles.
Greater specialization allows producers to take full advantage of economies of scale. Manufacturers can build large factories geared toward production of specialized inventories, rather than spending extra resources on factory equipment needed to produce a wide variety of goods. Also, by selling more of their products to a greater number of consumers in global markets, manufacturers can produce enough to make specialization profitable.
The United States enjoyed a special advantage in the availability of factories, machinery, and other capital goods after World War II ended in 1945. During the following decade or two, many of the other industrial nations were recovering from the devastation of the