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This is because; absorption of U.S domestic demand for goods by exporters in china and oil exporting countries has widely suppressed domestic job creation in the U.S. In 2011 and 2010, the increasing U.S trade deficit with China led to 2.8 million jobs displacement in U.S (Bordon, 2011). Other factors that have led to the shrinking of the manufacturing sector include rising technological changes which have increased labor productivity, forcing firms to hire few workers.
It is incorrect for the Business and Industry Council to blame imports alone for the international imbalance that have led to manufacturing crisis. Manufacturing crisis refers to the long-run trend of falling employment in the manufacturing sector in the United States. The macroeconomic policies that China has adopted of currency devaluation, increasing U.S dollar holding and, subsidies advancement to a range of industries are the major cause of the high trade deficit. By 2011, China had accumulated $3.26 trillion in foreign reserves in U.S treasuries. In Chinese auto-parts industry, both domestic and foreign owned plants have received $27.5 billion in government subsidies. In 2006, 58.2 per cent of China’s exports were from the foreign firms operating in China. These firms are taking advantages of the subsidy policy and availability of cheap labor in China. China and other low wage rate countries enjoy availability of cheap labor, relative to their counterparts in the US and other developed countries. This is the area where they have a comparative advantage in manufacturing.
Undervaluing the Chinese currency, yuan, has expanded the U.S trade deficit hurting the U.S manufacturing and depressing the U.S employment. According to the congress research service report (2008), China’s foreign exchange rates reserves increased from $403 billion to $1.5 trillion between 2003 and 2007.in 2010 the reserves were $3.2 trillion.
Lutes argue that, lax U.S financial regulations that have fueled over
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Still if the government plans to impose tariffs over the imported goods, the result would be that other countries will do the same. End result would be increased unemployment in the export competing industries and decreased unemployment in import competing industries.
According to Miller (2003), the study of this particular phenomenon concerning the Anti-Sweatshop Movement of the 1990s, rendered the then economists with the opportunity to obtain an apparent understanding of the working conditions and its potential impacts on the economic development processes.
The country of Germany commands for a relatively large share of mechanical machineries production among the European Union. The production of this type of goods is mainly concentrated in North-Rhine-Westphalia. The production of large machineries and heavy industries is concentrated in this part of the world.
Roadblocks are created to slow down the trucks and as soon as the truck stops, the hijackers conduct their task of hijacking it, in case of detour, hijackers might reroute the truck into an area where there is less or no traffic or public and the hijackers might hijack the trucks in such places.
According to the report the black women had had a higher high school graduation rate of 30% compared to white women 25%; Hispanic women also had a higher high school graduation rate of 27% compared to the white women’s 25%. 23% of black women had some college education compared to 18% for white women.
The countries that restrict international trade use various barriers such as restrictive tariffs and taxes, quotas and product quality standards in order to make the imported goods more expensive than the
According to a recent estimate of 2010, Syria’s total export value stands at $12.84 billion and the total import of Syria is estimated to be $13.57 billion (Younes 11-13). The major export partners of Syria are Iraq, Germany, Lebanon, Saudi Arabia, Egypt and
The first component is pluralism. Pluralism refers to competition that exists among various interest groups and serves to maintain certain democratic values and ensures that power concentration in a single group is subjected to some form of
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