Despite facing challenges at the domestic level, the U.S. economy is still the largest and most important in the world. The United States economy represents about 20% of total global output and is still larger than that of China.
Moreover, according to the IMF, U.S. has the sixth-highest per capita GDP (PPP). The U.S. economy features a highly-developed and technologically-advanced services sector, which accounts for about 80% of its output.
Technology, financial services, healthcare, and retail are companies that dominate the economy in the US. Large U.S. corporations also play a major role on the global stage. There are more than a fifth of companies on the Fortune Global 500 coming from the United States. This article would discuss the U.S. economy in general.
Economic of the United States
U.S. has an important manufacturing base, which represents roughly 15% of output. The U.S. is the second-largest manufacturer in the world and a leader in higher-value industries such as automobiles, aerospace, machinery, telecommunications, and chemicals.
Meanwhile, agriculture represents less than 2% of output. However, large amounts of arable land and advanced farming technology support the U.S. as the largest agricultural exporting country in the world.
The U.S. economy maintains its powerhouse status through a combination of characteristics. The country has access to abundant natural resources and sophisticated physical infrastructure. It also has a large, well-educated, and productive workforce. The government and the people of the United States both contribute to this unique economic environment.
The government provides political stability, a functional legal system, and a regulatory structure that allows the economy to flourish. Ongoing innovation, research, and development, as well as capital investment, drive U.S. growth economic. The U.S. economy is currently emerging from a period of considerable turmoil. Widespread mortgage lending and high consumer indebtedness led to a major recession that began in 2008.
What is great recession means would explain in the next sentence History.com states The Great Recession was a global economic downturn that devastated world financial markets as well as the banking and real estate industries. The economy has been recovering slowly yet unevenly since the depths of the recession in 2009.
The economy has received further support through expansionary monetary policies. This includes interest rates at the lower bound and the unconventional practice of the government buying large amounts of financial assets. In order to increase the money supply and hold down long-term interest rates—a practice known as “quantitative easing”.
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