U.S. Economy



U.S. Economy

Introduction

Business and economy go hand in hand because business is just like the backbone of economy. Powerful sectors of small, medium, and large enterprises is one of the keys to economic and social prosperity of the country. The economies of the country depends upon the employment provided by big and small businesses and produces the goods and provide the services upon which we rely on in our daily lives. A business pay taxes to the government and allows the government to function on the tax collected from them. Hence business is the pivotal part of economy. Business role in the economy is very important, especially in developed economies such as Japan, USA etc. It is the foundation for a market economy. Businesses are the major provider of jobs and the major drivers of economic growth in a typical capitalist economy. Businesses are the growth engine of the most successful economy. Business is the pillar of the economy. It creates the environment and the entrepreneurial spirit, without which the market economy is impossible (Blaug, 2007).

Today, the role of business in the economy is virtually independent of its type. You cannot talk about the greatest preference for small or large businesses. Both types are necessary for a modern economy. In the area of heavy industry, metallurgy, large-scale production cannot imagine functioning of small businesses. On the other hand, in the service sector, retail trade and catering predominant number of functioning small type. Consequently, the first step is to choose the right activity. Businesses are the growth engine of the most successful economy. Business is the pillar of the economy. Even when civilizations were based on an agricultural type of economy, business transactions occurred. In any capitalist economy, businesses play a huge role. Businesses are the major provider of jobs and the major drivers of economic growth in a typical capitalist economy. The purpose of this paper is to discuss US economy from Business perspective.

Background

With a gross domestic product (GDP) of 9837 billion in 2000, the U.S. is the largest economy in the world. GDP per capita (34,940 dollars), high (4 th in the world in 2000), ranks among the richest countries of the world. However, over 13 percent. 100 of the population reached the poverty line in 1997. In 2002, the U.S. had approximately 144.9 million in assets. The service sector is dominant today in conjunction with the development activities of public services (government) and private (banks, insurance) sector and "Quaternary" (Aliber, 2009). The unemployment rate (5.8 p. 100 in 2002 and 4.3 percent. 100 in 1998, the lowest rate since 1970) is relatively low compared to Europe. But the labor market is marked by increasing flexibility and precariousness of employment.

Factors prosperity

The United States is the country's economic liberalism and capitalism: the principle of "laissez faire", competition, market economy and free enterprise are driving the U.S. economy. Its power is based on both a large domestic market and a high degree of internationalization, thanks to massive investment ...