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Five Factors Of A Successful Economy In The United States

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The economy was built to trade, negotiate, buy, and sell goods to consumers. The economy relies on an entire network of producers, distributors, corporations, and consumers of goods to keep it up and running efficiently. The economic system was made to control five factors of production that are controlled by countries and government. The five factors are, labor, capital, entrepreneurship, physical resources, and informational resources. Each country’s economy runs differently, therefore individually, are successful but some are failing. Most countries try to export more than import. Exporting is better because it increases the countries GDP rather than decreasing it by importing.
Each country has at least one main resource or product that …show more content…

That’s why outsourcing jobs to other countries like Mexico or China is so big because, it’s cheaper labor costs and increases profit growth. Companies may see it as a “win win” but, it hurts a country’s economy by having less jobs available to the working class.
Let’s talk about successful economy’s why they’re so successful. The United States of America has one the most successful economies running today. The United States market surplus as well as market supply is at an all time high for natural resources. $19.42 trillion U.S. economy is 25% of the gross world product. The U.S. may have it’s strong points in the economy, it’s so called “effective tax rate” isn’t doing so well. In 2015, 150 million Americans filed for their tax return which the IRS assessed a tax of $1.454 trillion on …show more content…

There is one in particular that is in extreme trouble, Greece. No EU country has suffered more since the crash of 2008. Greece is the number one failing economy in the world right now due to market failure and other money related issues. Greece is standing at 177 percent GDP compared to the United Kingdom’s 89.1 GDP. Employment has fallen more than 22% which means one and every four Greeks are unemployed. Since then, with more than a million jobs lost. Household income dropped by 30% in three years. Investment and consumption are near zero. The ratio of central government debt to gross domestic product hit by the third quarter of the year

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For any country that wants to survive in the toughest of times, they need to have good trading capabilities. Very few countries are able to sustain themselves without indulging in intensive trade with other countries. Trading has been considered a good thing in the past, but with the changing world, there are doubts about the benefits of trading. There are some factors that lead to the development of trade networks between countries. When people started to settle in larger towns, the idea that you had to produce absolutely everything for survival, began to fade.

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The European Union is currently undergoing economic struggles within its countries. Since joining the EU, Greece’s

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Open market is what keeps the world economy afloat. It favors some countries more than others in particular the US. Without it during the Terrible Surplus the US wouldn’t have survived such crisis. Speaking in regards to current time the slogan “Let’s bring the jobs back to America” is just an unrealistic assumption. As time progresses the minimum wage is increasing nationwide, so no matter what sort of incentive you give manufactures to stop outsourcing jobs, they will still face a high minimum age compare to what a person makes in Asia.

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While the employers make more benefits on their business, the working class more struggled with their limited income. Globalization is another reason for increasing income inequality in the America. Globalization shows the cultural and economic changes as a result of dramatically rise in international trade and exchange in the late twentieth and early twenty-first century. To maximize benefits, the trade of materials between the United States and other countries has become popular. Likewise, to reduce labor costs, many corporations move their factories to other countries such as China, Bangladesh, India, Vietnam, etc.

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This is a large-scale problem because the United States is unable to pay the money borrowed from the foreign countries back, due to the large about of debt that they are now in. The United States will be like this for a long period because the debt keeps growing and will continue to grow and change daily due to the side effects from this crisis.

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Proponents of austerity are not wrong in theory. If someone is loaned money, the intention is to have that loan payed back. Arguments for austerity lack plans for a stronger economy as a whole. The people of Greece need to work. They also should not retire early.

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All organisms have specific adaptations which help survival. There are three categories of adaptations; structural, physiological, and behavioural. Over generations an organism might become so different from its ancestors that if they were put together they wouldn’t be capable of producing fertile offspring, creating a new subspecies. A similar thing may happen if one population is divided, then over time adapt to new surroundings. This process is called natural selection and can be found throughout any organism’s history, but can only occur if there is variation within a species.

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Even for the wealthy that could afford this luxury, many products are not made domestically. For example, the ever-popular technology company, Apple, manufactures in China, allowing Americans to obtain high returns on their investment. The cost of labor large companies like Apple would have to invest to American workers makes this idea illogical from a business

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The Greece Bank shutdown started from the beginning of the 1999-2000's with the introduction of the euro, binding 19 other nations into a single currency zone, watched over the European Central Bank but leaves the countries to do their own business. With other economist believing that it was soon to end from the beginning. Since the debt crisis started in 2010, some of the bonds with Greece was either sold or just disbanded because they did not want to fall when Greece falls. Unlike Greece other countries like Portugal, Ireland, and Spain, that are more important to trading and stock markets are trying to recover from the eurozone of debt. With Greece constantly borrowing the financial markets, was forced to be shut down, making the 2010

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In her article entitled “What Your 2015 Income Tax Dollars Paid For,” author Jeanne Sahadi breaks down the distribution of this income tax money. She explicates that the typical household “paid $13,000 in income taxes to the federal government.” Of this $13,000, over half went to support health programs, the Pentagon, and the military. Approximately fourteen percent was spent on debt interest, and nearly eight percent was expended on unemployment and labor programs. Other categories include: veterans’ benefits, agriculture, education, community, environmental, and international affairs programs, and transportation and science funding.

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The fall of the Roman Empire shattered Europe into what it is today. Europe has been a fragmented group of countries since. Today there are financial problems, the poorer countries want loans from the richer European countries in the European Union but never repay them back. Adding to that there is an Immigration problem of refugees in Syria crossing over to Germany. The economy isn’t just affecting their own countries, but also affect other countries based off exporting goods like China.

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One if the greatest advantage is transferring new technology between countries, which is incredibly beneficial for the development of nations. One of the biggest disadvantages is precisely when easy access to incoming technology is not allowed. Take for instance Ecuador, a developing country, which products cannot compete with those from developed countries in terms of quality, advanced technology, know-how, and price. In order to stimulate local consumption and decrease the amount of money transferred abroad, Ecuador’s government has set several policies, which has considerable effect on imports. Some of those policies are: imports quota and tariff safeguards.

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It was evident that Greece has a dept, cannot print Euros and has lost market access. Greece had to ask financial assistance in order to cover its financial needs. Greece as a Eurozone country, would ask financial assistance from the family of the Euro Area Member States (EAMS). However, the EU did not have the technique and the framework for the solution of such situations. Because of that, EU had to search other possibilities such as bilateral loans by other member states and assistance by the IMF.

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INTRODUCTION An economic system is defined by the various processes of organizing and motivating labour, producing, distributing, and circulating of the resultant of human labour, such as merchandise and services, consumer durables , machines, tools, and other technology used as intake for hereafter production, and the infrastructure within and through which production, apportionment , and circulation occurs. These arrangements are intended by the political, cultural, and environmental conditions which they co-exist together (Gemma; 2014). In a command economic system or planned economy, the federal government controls the economy by deciding how the state would use and distribute resources. The government also regulates prices and wages

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There are many different approaches to development in which countries over the years adopted to further develop and grow their economy. Some countries adopted the approach of import substitution in which they try to decrease their dependency on other nations and protect and foster domestic small companies. The disadvantage for an import substitution based industry, ISI, is although it achieves growth it does so through a greater period of time. On the other hand, growth and development from export oriented industries, EOI, has greater results and is so much faster than import substituting industries. Examples of countries that adopted import based industries are countries of Latin America while countries that adopted Export oriented Industries are countries of East Asia.

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