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Eco/372 International Trade and Finance Speech Essay

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International Trade and Finance Speech
March 12, 2012

International Trade and Finance Speech
      Welcome all reporters to the House. This speech will be to get everyone of you familiar with the current state of the U.S. macroeconomy. When it comes to macroeconomy, the United States takes a stand between persistent inflation and slowdown. Many measures indicate a strong economy such as housing prices and residential investment. The strong points this speech will cover are whether the U.S. encounters serious issues with slowdown and fall into a recession, or if it is undergoing a sustained growth within other parts of the global economy (Chinn, 2006).
      Imports are goods and services purchased and brought into a certain country from another country. A surplus is something in quantity or amount in excess of what is required. If there is a surplus of imports brought into the U.S. and not as much exports, this will create a balance of trade deficit.   Also, when imports exceed exports, foreign demand for U.S. goods and services become less than U.S. demand of other countries. Therefore, this will create a net negative demand for U.S. goods and services from abroad. This net negative foreign demand reduces aggregate demand for U.S. goods and services (Reference for Business Encyclopedia of Business, 2012). An example of a product with an import surplus is imported dairy ingredients. Increasing imports on dairy ingredients and proteins has caused the domestic demand for U.S. produced farm milk has seriously dropped. California among other dairy states has seen the shortage of their processing capacity (Hardin, 2009).
      International trade does not come easy to domestic issues like the GDP, domestic markets, and university students. When conducting international trade, if net exports are positive the nation’s GDP increases. On the other hand, if they are negative, GDP decreases (infoplease, 2012). International trade affects domestic markets by...

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