By Razinah Maudarbux
2

How can anyone say we have "market failure" when we don't have real "markets". The real sin of the so called Capitalists is market development or lack there of. Globalization was a great idea but done incorrectly. American business took jobs from Americans who made enough money to be great consumers and gave them to foreign workers who they paid so poorly they could not take the place of the lost American markets ( American workers).
The true capitalist would have invested in growth to the new markets. What I mean is that they would have kept the American market (American manufacturing plants and offices with the well paid workers) but opened factories and offices in other countries paying the workers a fair wage so that those workers could buy the products they made. This is true capitalism. this type of capitalism takes into account both supply and demand.
Supply side economics is what has gotten us into this near depression and is what is keeping America from getting out of this slump. Consumerism will not reappear until well paying jobs are redeveloped. Without consumers all the goods those low paid workers make will sit in your warehouses. Without demand your supplies are worthless.
For the virtuous investment cycle to work, there has to be a healthy environment for entrepreneurs and inventors. These are usually not among the wealthy when they get started. It is a historical fact that when wealth is concentrated in the hands of the few, rather than seeking new opportunities for wealth creation they often manipulate the rules and regulations to protect what they have. This results in an environment that is unhealthy for entrepreneurial enterprise and as middle classes shrink, is similarly unhealthy for the consumer markets that new small business relies on for their customer base. As a small but influential group of high wealth individuals in the US undercuts our education system, middle class labor rules, voter rights, access to health providers, etc., etc. etc., we get closer and closer to a banana republic situation of guarded palaces and wide spread poverty. Not quite what the founding fathers had in mind when they cast off the bindings of European aristocratic rule. Our so called conservative representatives are so greedy and addicted to campaign donations from the wildly misnamed "club for growth", that this basic truth eludes them.
P.S. These are my thoughts on the topic based on all the reports and researches I did with http://ultius.pro/ so they might be flawed but to me they aren't

Melanie Knights

Nteboheng Fotho

Tabitha Farrant

Hey. here are some info on free trade generally and in US from my research for http://essay.expert/ . Hope it helps:
Free trade has not worked for the non-Elites in the US since at least 1990. It has lowered productivity growth while moving production overseas. The data from the last 40 years indicates that most international trade has reduced US economic growth, labor participation, and wages. This was pointed out by the author's own research See: http://economics.mit.edu/files/6613/ This is also clearly seen in the lack of growth in the incomes of the Middle Class in developed nations since 1988. See: http://voxeu.org/article/greatest-reshuffle-indivi... During this period US Total Factor Productivity declined from around 1.5%/year to .4% as the newer production processes moved off of US soil See: https://www.bls.gov/news.release/prod3.t01.htm
A key point is that the standard economic models of International Trade are wrong. "Free Trade" can have benefits, but does mandate optimal outcomes. For example, lower cost players can transfer economic production to their soil. A nation can have net negative economic outcomes from trade. There are many equilibrium points (vs. the one of standard economics) in international trade when productivity changes or there are economies of scale. With many of these points it would be better for a nation not to Trade, this was demonstrated by Baumol and Gomory See: https://www.amazon.com/Conflicting-National-Intere...
The US has spent the last 30 years in negative equilibrium pts. We need to follow the actual Terrain of economic results vs. the incorrect map of standard economics. A simple approach is Warren Buffets idea to construct a market for import certificates. This is a rules-based approach (vs. rent-seeking), that would automatically balance trade See: https://en.wikipedia.org/wiki/Import_certificates

Lexie Kings
By Hermain Sarfaraz
2

Actually this is the first time I used this site...so don't know exactly how to use it
I wanted to ask ..how to write answers in A2 ?

Hermain Sarfaraz

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ylq jake

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