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There are many reasons for moving the production outside of the U.S. one of the main reason is the production cost.
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- Why do countries often protect their economies from imports?“Imports destroy jobs; exports create them. The average American is hurt by imports and helped by exports.” Do you agree or disagree with this statement? Explain.At one time, it was believed that the way for a nation to prosper was to export as much as possible while importing as little as possible. More money would flow into a country than out of a country. Is this really a sound economic strategy? What is the relationship between exports and imports?
- Both the United States and global economies are booming. Will U.S. imports and/or exports increase?List down the main ingredients or raw materials in manufacturing the Ferrari sports car. Identify the corresponding country from which each ingredient or raw material cameAmerican firms outsource many jobs to other, lower cost countries. How can this outsourcing actually lead to increased employment here in the USA? How can there be any economic gains for a country from both importing and exporting the same good, like cars?
- Any goods, raw materials, or services that are produced in one country and then sold to another country, this is called?“Imports destroy jobs; exports create them. The average American is hurt by imports and helped by exports.” Do you agree or disagree with this statement?What difference might it make to the Australian economy if the trading relationship between China and Australia deteriorates as political tensions continue to increase?