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Nataly [62]
3 years ago
8

Is it true or false The loss of trade with Britain had a negative impact on America’s economy.

Social Studies
1 answer:
Arisa [49]3 years ago
4 0

Answer:

Economists have had an enormous impact on trade policy, and they provide a strong rationale for free trade and for removal of trade barriers.  Although the objective of a trade agreement is to liberalize trade, the actual provisions are heavily shaped by domestic and international political realities.  The world has changed enormously from the time when David Ricardo proposed the law of comparative advantage, and in recent decades economists have modified their theories to account for trade in factors of production, such as capital and labor, the growth of supply chains that today dominate much of world trade, and the success of neomercantilist countries in achieving rapid growth.

                             

One of the better-known advocates of this philosophy, known as mercantilism, was Thomas Mun, a director of the British East India Company.  In a letter written in the 1630s to his son, he said: “The ordinary means therefore to increase our wealth and treasure is by Foreign Trade, wherein wee must ever observe this rule; to sell more to strangers yearly than wee consume of theirs in value. . . . By this order duly kept in our trading, . . . that part of our stock which is not returned to us in wares must necessarily be brought home in treasure.”[1]

Mercantilists believed that governments should promote exports and that governments should control economic activity and place restrictions on imports if needed to ensure an export surplus. Obviously, not all nations could have an export surplus, but mercantilists believed this was the goal and that successful nations would gain at the expense of those less successful.  Ideally, a nation would export finished goods and import raw materials, under mercantilist theory, thereby maximizing domestic employment.

Then Adam Smith challenged this prevailing thinking in The Wealth of Nations published in 1776.[2]  Smith argued that when one nation is more efficient than another country in producing a product, while the other nation is more efficient at producing another product, then both nations could benefit through trade. This would enable each nation to specialize in producing the product where it had an absolute advantage, and thereby increase total production over what it would be without trade. This insight implied very different policies than mercantilism. It implied less government involvement in the economy and a reduction of barriers to trade.

Smith and Ricardo considered only labor as a “factor of production.”   In the early 1900s, this theory was further developed by two Swedish economists, Bertil Heckscher and Eli Ohlin, who considered several factors of production.[4]  The so-called Heckscher-Ohlin theory basically holds that a country will export those commodities that are produced by the factor that it has in relative abundance and that it will import products whose production requires factors of production where it has relatively less abundance. This situation is often portrayed in economics textbooks as a simplified model of two countries (England and Portugal) and two products (textiles and wine). In this simplified portrayal, England has relatively abundant capital and Portugal has relatively abundant labor, and textiles are relatively capital intensive whereas wine is relatively labor intensive. With these conditions, both nations would be better off if they freely traded, and under such a situation of free trade, England would export textiles and import wine. This would maximize efficiency, resulting in more total production of textiles and wine and cheaper prices for consumers than would be the case without trade.  Through empirical studies and mathematical models, economists almost universally believe that this model holds equally well for multiple products and multiple countries.

Furthermore, some products do not utilize the same factors of production over their life cycle.[6] For example, when computers were first introduced, they were incredibly capital intensive and required highly skilled labor. Over time, as volume increased, costs came down and computers could be mass produced. Initially, the United States had a comparative advantage in production; but today, when computers are mass produced by relatively unskilled labor, the comparative advantage has shifted to countries with abundant cheap labor. And still other products may use different factors of production in different countries. For example, cotton production is highly mechanized in the United States but is very labor intensive in Africa. The fact that factors of production may change does not nullify the theory of comparative advantage; it just means that the mix of products that a nation can produce relatively more efficiently than its trade partners may change.

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the modern american industrial system began with which industry? a. textile b. automobile c. paper d. rubber​
jek_recluse [69]

Answer:

a

Explanation:

they began through the usage of textile Mills to produce textile

7 0
3 years ago
What was Paul Revere trying to prevent the British from doing?
Wittaler [7]

Answer:

He was trying to give warning to the colonists and the militia so they would be prepared and fight off the British army's initial attack.

Explanation:

The Boston Patriots had been preparing for a British military action for some time, and learning of the, Revere and Dawes set off, taking separate routes in case one of them was captured.  Patriots in Charlestown waited for a signal from Boston informing them of the British troop movement because they previously agreed that one lantern would be hung in the steeple of Boston’s Old North Church if the British were marching out of the city by Boston Neck, and two if they were crossing the Charles River to Cambridge. Two lanterns were hung so the armed Patriots set out for Lexington and Concord.The men roused hundreds of Minutemen, who armed themselves and set out to oppose the British.

8 0
2 years ago
Primary purpose of prison in a country should be rehabilitation or punishment? Why? (about 200-250 words)
Murrr4er [49]

Explanation:

The purpose of prison is to make the offender realize that they have done something wrong due to which they are being punished. But what is the result of this? The main goal behind punishment is to curb crime by punishing the offenders so that they refrain from doing the crime in the future, but has this goal been achieved? Let’s see.

The psychologists are of the opinion that the current situation of the prisons has increased the number of offenders coming to the prisoners because of nature and practices that are being adopted in the jails.

In the late ’70s, the prisons’ prime focus was on the rehabilitation of the offenders, and it was part of the US prison policy. The offenders were allowed to learn some skills and work on their mental health through proper consultation with the psychologists so that they can be reintegrated into society.

Since then, rehabilitation has taken a back seat, and the “get tough on crimes” has been adopted, which means that the offenders will be punished rather than rehabilitated. The statistics show that this policy of getting tough on crimes has been counterproductive. The number of offenders in prisons has increased, and the crime rate is also growing constantly.

Rehabilitation is a process in which an offender is given a chance to realize his/her offense and learn how he/she can change the mindset to prevent crime in the future. In other words, rehabilitation is the criminal mind’s soft processing to reintegrate it back to society.

On the other hand, Punishment (Incarceration) puts the offender behind the bars of the cell so that he can think of his offense. The process is a harsh way of making criminals realize their mistakes, but punishments can often become counterproductive.

Point being rehabilitation is a much better option than punishment because it would help an offender become a peaceful citizen and live a normal life. Secondly, as a society, it is everyone’s responsibility to fix a broken person. One might think that until and unless it is not harmful to me, I shall stay away from it, but that’s not the case.

One day or another, the criminal mindset in the society will become harmful for you; therefore, it is the responsibility of every citizen to support rehabilitation programs so that they society can have more peace and fewer crimes.

Through the rehabilitation programs, it can be ensured that the majority of the segment of society is law abiding rather than few people abiding by the law.

6 0
3 years ago
The world’s first civilization developed between the Tigris and Euphrates Rivers in
galina1969 [7]
The world's first civilization, founded in Mesopotamia, which existed for over 3,000 years. Rivers that flowed mainly through Iraq. Silt form the Tigris and Euphrates Rivers developed the Fertile Crescent<span>, where the worlds 1st farming civilization developed.

HOPE THIS HELPED!!</span>
5 0
3 years ago
What was the stamp act
LuckyWell [14K]

The Stamp Act was passed by the British Parliament on March 22, 1765. The new tax was imposed on all American colonists and required them to pay a tax on every piece of printed paper they used. Ship's papers, legal documents, licenses, newspapers, other publications, and even playing cards were taxed.


7 0
3 years ago
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