ECO372 Team C Week 5 Assignment Essay

Submitted By Travis-Koeper
Words: 483
Pages: 2

Concepts of
International Trade and Foreign Exchange
Rates
ECO372

Outline
 Effects
 Effect

of Surplus Import

of International Trade on

GDP
 Tariffs

and International Trade

 Foreign

Exchange Rates

 Foreign

Trade Relations

Effects of Surplus Import

("International Car Shipping", 2013).

("Montway", 2013).

Effects of Surplus Import


What Happens?



Competition: Domestic Vs Foreign

Effects of Surplus Import


Auto Imports into U.S. in 2013 – 295 billion 

U.S exports 2013 – 146 billion



149 billion dollar gap



As of November 2014:


Imports hit 241 billion



Exports climbed to 197 billion



44 billion dollar gap

("About News", 2015).

("Bea Hompage", 2014).

Surplus Of Imports
Brought Into The U.S.



The Impact

Effect of International
Trade on GDP


Provides a rise to the global economy



Allows consumers and countries an opportunity to obtain goods



Increased efficiency of resources

International Trade
Effects on Domestic
Markets
The role of trade




Exports & Imports



Loss of Jobs

International Trade effects on University
Students
Higher Education




Advantages of Education to a Nation



Training & Workforce

Tariffs and International
Trade


What is a tariff?



Why are tariffs and trade barriers used? 

The effect on international trade.



Who benefits?



Conclusion

Foreign Exchange Rates


Currency exchange Rate Examples


$1 = 0.86 Euros



$1 = $57.86
Afghanis



$1 = $11.59 Zars



$1 = 0.66 British
Pound



$1 = $119 Japanese
Yen

Restricting China

Foreign Trade Relations
>Restricting China


America’s 3rd largest export market



Jobs would not come back to America



Major America companies rely on China for finished products and goods.



Increase cost of product / lower standard of living



America needs China more than China needs America

Foreign Trade Relations
>Limiting Imports


Jobs would not come back to America



Major America companies rely on foreign countries for finished products and goods.



Increase cost of product / lower standard of living



Major European companies employee US citizens

?

QUESTIONS?

Reference


BEA hompage. (2014). Retrieved from http://blog.bea.gov/category/trade-deficit/



China Is America's Biggest Opportunity. (2012, February 17). Retrieved from…