Grand Canyon University: ECN – 360
January 13, 2013
International Economics examine a number of hot topics in international economics, such as International Economics examine some very interesting topics in the economics world today. They research things such as Chinese exchange rate, outsourcing, US steel policy, and trade and labor standards. They also answer many questions that come their way such as “Is financial instability caused by floating exchange rates?” and “Is erosion of labor standards lead by globalization?” International economists deal and answer some really controversial areas throughout economics. We the international community have to take a stand and help come up with and create some type of growth model which helps stable economies. It would need to productive ideas to help get our country out of this recession. Based on my research I will supply what I feel to be three very important recommendations that could possibly help get us out a recession. The only way for this will happen is the world has to move towards economic growth.
My first recommendation would be dealing with different world-wide industries and improving their productivity rate. If we find a way to accomplish this it would lead to a smaller amount of utilization of resources. The most critical areas that can help lead the world’s economy toward economic growth is productivity. It leads to allocation and productive efficiency. “Productivity, especially improving productivity, has important benefits ranging from global effects to effects on individuals' quality of life.” (Productivity, 2013) Although there were many causes for our problems, one major problem was the loss of clear superiority in productivity. For this reason productivity and productivity improvement has become an issue, not only in the United States but all nations. “This has led other disciplines, besides economics, to focus on productivity issues, and one such discipline was psychology.” (Productivity, 2013)
The next recommendation for the world leaders would be for them to act upon creating more job opportunities worldwide. The employment situation around the world is a major factor that needs to be looked into. “The recession took a far heavier toll on men than women, on workers under 30 than on workers over 55, and on those without a high school diploma than on those who are college-educated. The heaviest toll was on African American males.” (A Decent Standard of Living, 2010) An increase in employment can lead to people increasing their consumptions. This would lead product makers to increase their supplies. This in return would bring about a circulation mode and it would help the economy to be move out of this recession and grow more rapidly in stages.
My third and final recommendation is to do away with embargoes and trade bans. Doing this could result in a lower product price and, higher consumption of products and creates a lot of jobs. Trade as we know it seems to create wealth and less unemployment. Countries are encouraged to create and produce their products to sell abroad or exported. “Today, much of world trade is controlled by about 200 multinational companies, which have offices and factories across the globe. The world should become a free-trade or nearly a free-trade zone area.” (World Trade, 2009) I know