Foreign Direct Investment - Assignment

Added on - 04 Oct 2020

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USA EconomyConsultancy Report
ContentsEXECUTIVE SUMMARY.............................................................................................................1INTRODUCTION...........................................................................................................................1BACK GROUND............................................................................................................................2METHODOLOGY..........................................................................................................................3Data collection:............................................................................................................................3Data analysis:...............................................................................................................................3DESCRIPTION...............................................................................................................................3International trade........................................................................................................................3Foreign Direct Investment...........................................................................................................5Economic development...............................................................................................................6Globalisation................................................................................................................................6SOLUTION.....................................................................................................................................7Strengthening the policies............................................................................................................7Changes in methods.....................................................................................................................7Increase in investments................................................................................................................8EVALUATION...............................................................................................................................9DEGREE OF CONSULTANCY...................................................................................................10CONTRIBUTION.........................................................................................................................10CONCLUSION..............................................................................................................................12REFERNCES.................................................................................................................................13
EXECUTIVE SUMMARYUSA is the most powerful and developed nations of world which is arising as marker andglobal leaders in many terms. The foreign trade of USA would be comprising of both exportsand imports which makes it most important or vital dealer in global market. All the regulationsof USA in regard of trading would be with US Congress which is the largest ruling party ofcountry. Under this study which is would be highlighting developments that have been takenplace in recent years within US economy in terms of political or economy, methods which are tobe undertaken are those related to secondary research. So in this current topic which isunderlying various important types of developments in US and its contribution to globaleconomy secondary data would be taken.INTRODUCTIONThe recent developments and contribution of United States to the Global economy is veryexcellent. The US economy sometimes seen as 'the engine' of the world economy. Anyslowdowns in the economy of United States increase the concerns about the harmful effect to theother economies. In the year 2007, the concerns of investors and policy makers are even againstof past recession in United Kingdom (Knudsen, 2018). A growth upsurge in the world biggesteconomy could render an important advancement to worldwide activity unsteadily about the pathof US policies could have the opposite result. USA is contributing about quarter in the worldeconomy. The market exchange rates of USA are one-fifth of global FDI. The election of DonaldTrump's as US president has trigged an upsurge in positivity in economy. He pursues the policytransfect of deregulation, cut the taxes and reforms and building of infrastructure.As per the key indicators, the USA economy is healthy in compare to other economies.GDP is the most critical indicators which measures the production output of nation. The GDPgrowth rate is foreseen to remain between 2.2% to 3.2 % idealistic range. The rate ofunemployment is expected to remain at the normal rate. There is no so much inflation anddeflation in the economy. The personal disposable income of individual is 0.3 % in 2017. Theeconomic growth of industries of US is 2.9 % in 2017. The most common currency widely usedin the world is USA currency. USA is the most significant destination of export which is aboutone-fifth counties across the world. The impact of global economy has made alterations in USAmonetary policy (Kirchherr, Reike and Hekkert, 2017). The trade policies of USA are alsoaffected by global effect. A modification in US activity can assist growth in trading partners1
directly through an increase in the demand. By 0.8% of growth is boosted by US economies. TheGDP growth has risen to 2.8 % in 2018. Federal Open Market Committee meeting which wasconducted on 28 march 2018, anticipate that there will be 2.4 % of GDP growth in 2019 and 2%in 2020. The unemployment rate will be drib to 3.8 % in 2018.BACK GROUNDUS political development includes comparative politics, public laws and political theoryand disciplines of sociology. There are four types of political system in US which arePresidential system, Liberal system, constitutional system and Federal system. The United Statesis a symbolic democracy as people elect representatives to govern the county. Political traditions,customs, belief and values are shared by people of US (Ghinea and Lipworth, 2017). TheFederal Government and state government of US organize social welfare programmes for thebetterment of society. The resources and management can only be avail by government of US.US government is organizing many programmes like medical health insurance programmes, oldage, widow and many others which have direct impact on the betterment of society. US are alsodeveloping many schools as well as nutrition programmes for them. By the end of 19thcenturysubsidy has become the characteristics of government participation in the economic life in US.The population of US in 2013 is 317 million which increased to 326 million in 2017 was. TheGDP per capita in US dollars is 52,705 in 2013 which is increased to 57,436 in 2016. Theeconomic growth of US is 1.7 % in 2013 which was decreased up to 1.6 % in 2016. TheDomestic demand in 2013 is 1.4 % which was increased up to 1.7 % in 2016. The annualconsumption is about 2.7 % in 2016 which was increased by 1.2 % from 2013. The rate ofinterest on policy is .25 % in 2013 which was increases up to 0.75 % in 2016. The stock marketof US is 13.4 in 2016. The rate of inflation is 1.3 % in 2016 which was controlled by 0.2 % from2013.These developments have affect the economic growth as a whole of United States. Butthe more development in the economy of US is contributed by private and public sectors ofcountry. Economic development also contributed large to the standard of living of US and about72% of people has improved their standard of living by the economic development of USeconomy Generally, people of country becomes more developed. The health, education, securityand many other factors are developed by the development of economy (Bonfato, Hansing andSilva, 2017). The population of US has positively affected by the development of economy. The2
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