International Trade and Finance - 1501 Words

Linda Luc Duong International Trade and Finance ECO/372 August 27, 2012 Matthew J. Angner International Trade and Finance When there is a surplus of imports brought into the United States it means that the price of the products will drop. Companies in the United States are competing with the Chinese made products will suffer from price drops on goods. Lower prices on goods will benefit consumers. Large screen Liquid Crystal Display (LCD) and High Definition Television (HDTV) is a good example. Because of the recession there has been a surplus of large screen LCD and HDTV. Not many people can afford or buy them with the high prices. Large screen LCD/HDTV is much cheaper than what it was four years ago. The effect of international†¦show more content†¦The dollar must be raised so that there is a high-demand for the United States dollar. The government must promote the qualities and products made in the United States of America. All companies must be able to compete with companies based in China. What this mean is that all goods made in the United States of America are given high priority over Chinese made goods. Questions  · What happens when there is a surplus of imports brought into the U.S.? Cite a specific example of a product with an import surplus, and the impact that has on the U.S. businesses and consumers involved. When there is a surplus of imports brought into the U.S. it means that the price of the product(s) will drop. U.S. companies that are competing with the Chinese made products will suffer from price drops of the goods. With consumers it will benefits the consumer with the lower price on goods. Large screen LCD/HDTV is a good example. Since the recession there has been a surplus of large screen HDTV. Not many people can afford or buy them since the prices were high. Now large screen LCD/HDTV is much cheaper than what it was 4 years ago.  · What are the effects of international trade to GDP, domestic markets and university students? The effects of international trade on GDP are that GDP and employment goes hand in hand. What this mean is that as employment move o ut of the United States it create smaller GDP in return. As international trade with imports of goods alsoShow MoreRelatedTrade Finance and International Trade1903 Words   |  8 PagesAccording to Branch trade finance has become a strong bargaining point in the conduct of international trade. Negotiating strategy needed to reduce finance risk (Branch, 2005). Trade finance is a topic contained the financial facilities industry. Manufactured goods is sold and distributed to overseas; therefore, it takes longer to get paid. Additional time and energy is required to make sure that buyers are trustworthy and creditworthy. Also, foreign buyers who are just like domestic buyers. 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