International Economy

International Economy

Introduction United States America was discovered by Christopher Columbus in 1492. Native populace lived in America before European people commence to arrive. In 1770s, fourteen British city states, which of three million lived at the same country. They were enormously flourished in their economy; the parliaments imposed taxes in their economy. This decision was appreciated by the British, conflagrations starts at the starting of 1775. In 1776, the British colonies left America after this state is as United States of America. Total area of America is 9,826,675 km and total population is currently 315,539,000. It considered as the world most powerful nation state. This country has the world largest economy (Brock, 1998).

Russia Russia is the biggest state in the world; it covers approximately more than one eighth part of the Earth's occupied territory area. According to 2012 estimate, Russia is as the ninth most population among all the countries. Currently its total population is 143 million; expanding transversely the entire of northern Asia, Russia distances covered approximately nine time zones which include an extensive range of surroundings and land. It has the world's biggest reserves of energy and mineral assets and biggest manufacturer of gas and oil worldwide. Its largest area covered with forest, considered as the world's largest reservoir of forest in this country (Gerschenkron, 1947).

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Discussion

Growth Rate of Russia and US economy The healthy growth rate of both the Russia and US economies revolved around four key growth factors which are as follows (Kuznets & Murphy, 1966).

GDP Growth Rate GDP in PPP per Capita Growth

GDP per Capita Growth Rate

GDP in PPP Finding the growth domestic product we have a sufficient formula, through which we can easily find the growth rate of any state or country (Moran, 2001). .

GDP = C+I+G+(X-M) GDP in PPP Each state explains their economic data, such as GDP Per Capita, Gross Domestic Product, earnings or scarcity in their own country currency. In order to analyze the exact position of their nation among all country, each country has to transform their Purchasing Power Parity (PPP) in dollar value for equal. For this, all countries have to transform their earnings in US dollar. Suppose we compare the GDP of US and Russia country.

Annual GDP,2011

Russia

41.7 billion Russian rubles

US

14.4 billion US dollars If we compare both the country's economy in terms of dollar, then we have to transform the Russia economy in dollars value. ...