Transcript Current us trade agreements and the future of the us economy

CURRENT US TRADE AGREEMENTS
AND THE FUTURE OF THE US
ECONOMY
Source: Queen of Clean
STAGES OF ECONOMIC
DEVELOPMENT
Source: Welker's Wikinomics
WHERE IS THE US ECONOMY? – THE
GOOD

GDP expanded at a seasonally-adjusted annualized rate of 1.9%
last quarter

Down from the 3.5% reading observed in the previous quarter

Wage Growth Positive

Near Full Employment (5.3% Unemployment)

High Consumer Confidence

20% of Global Output

80% of US output is service sector jobs

US is the 2nd largest manufacturer in the world



Accounts for 15% of US output
Agriculture is only 2% of output
6th Highest per capita GDP
Source: Esquire
WHERE IS THE US ECONOMY? – THE
BAD
Deteriorating
Wage
Rising
Infrastructure
Stagnation
Income Inequality
Higher
Pension/Medical Costs
Budget
Deficit
Source: Unproduced Screenplays
HOW MANY FREE TRADE AGREEMENTS
ARE CURRENTLY ON THE BOOKS?
20
Who are they with?
Rica
 Dominican
 Bahrain
Republic
 Canada
 El Salvador
 Chile
 Guatemala
 Columbia
 Honduras
 Australia
 Costa
 Israel
 Nicaragua
 Jordan
 Republic
Korea
 Mexico
 Morocco
of
 Oman
 Panama
 Peru
 Singapore
Source: US Chamber of Commerce
WHICH OF THESE TRADE AGREEMENTS
ARE REGIONAL TRADE AGREEMENTS?
Only
2!
NAFTA


CANADA
MEXICO
CAFTA-DR






DOMINICAN REPUBLIC
COSTA RICA
EL SALVADOR
GUATEMALA
HONDURAS
NICARAGUA
Source: ustr.gov
TRANS-PACIFIC PARTNERSHIP (TPP)
For
now… ITS NOT GOING TO HAPPEN!
Source: UPI.com
BUT WHAT WAS IT?

Largest Regional Trade Accord in History

40% of Global GDP

1/3 of World Trade
AND WHO IS IN IT?

Australia

Mexico

Brunei

New Zealand

Canada

Peru

Chile

Singapore

Japan

Vietnam

Malaysia
Source: populationgrowth.org
A BIT MORE IN DEPTH
WHAT IF… AN ARGUMENT FOR

US International Trade Commission Analysis

By year 15 GDP $47.2 billion higher

128,000 more full time jobs

Protection of Intellectual Property and Foreign Investment

Geopolitical Situation
Source: netivist.org (Image by Gobierno
de Chile)
WHAT IF… AN ARGUMENT AGAINST

Exchange rates means US does not really
benefit from tariff cuts(and they are
already low

US would lose more manufacturing jobs

Questions on if it could even make that up
in other sectors

US Businesses would move overseas

Less expensive labor abroad hurts blue
collar worker and union efforts to demand
a higher wage
Source: keywordsuggest.org
IT WAS NOT JUST THE US THAT SAW PROTESTS…
Source: DurhamRegion.com
Source: Common Dreams
Source: Common Dreams
Source: International Business Times
WHAT ELSE IS IN THE WORKS?
 Between

the US and EU
The new TransAtlantic Economic Council?
 Bolster
an already strong relationship
 Boost economic growth
 Add jobs on both sides of the Atlantic
 Transparency in trade and investment
regulation
Source: https://ustr.gov/ttip
WHAT ELSE DO WE HAVE GOING ON?
TRADE AND INVESTMENT FRAMEWORK
AGREEMENTS
 Provide
strategic frameworks and principle for dialog
on trade and investment issues between US and other
parties to TIFA
 Goal:
Improve cooperation, trade, and investments
 Many
agreements

https://ustr.gov/trade-agreements/trade-investmentframework-agreements
WORKS CITED

https://ustr.gov/trade-agreements/free-trade-agreements

https://ustr.gov/trade-agreements/free-trade-agreements/cafta-dr-dominican-republic-central-amer

https://ustr.gov/trade-agreements/free-trade-agreements/north-american-free-trade-agreement-naftaica-fta

http://www.focus-economics.com/countries/united-states

https://ustr.gov/trade-agreements/free-trade-agreements/trans-pacific-partnership/tpp-full-text
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https://www.nytimes.com/interactive/2016/business/tpp-explained-what-is-trans-pacific-partnership.html

https://www.nytimes.com/2016/07/27/business/economy/why-dropping-the-trans-pacific-partnership-may-be-a-badidea.html

https://netivist.org/debate/tpp-pros-and-cons
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http://rooseveltinstitute.org/why-tpp-bad-deal-america-and-american-workers/

https://ustr.gov/ttip

https://ustr.gov/trade-agreements/trade-investment-framework-agreements

https://www.nibusinessinfo.co.uk/content/uk-trade-relations-us