US and Globalisation

With the rising unemployment, the US seems to be going slow on globalisation. Increased imports(majorly from China) has a negative impact on its employment. It is estimated that with every 1 billion dollar imports from China the unemployment in US increases by 0.48%. The continuous imports for a longer period also decreases the expertise of the domestic industries.

The US is in greater trouble with people preferring imported consumer products and automobiles over its domestic counterparts. One solution for this is to prefer domestic goods over the imports, but the consumers should be willing to pay a higher price. Countries like China and India produce goods at a lower rate which the US companies cannot compete with.

According to recent news Trump has forced companies in the US to hire local employees. This sends a signal of desperate attempt of the US to counter its unemployment issues. The White House should come up with the required reforms to curb this unemployment issue without turning its back on globalisation.

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