Explain macroeconomics and microeconomics and how they relate to the management of a global organization with the following questions
1. When is international trade an opportunity for workers? When is it a threat to workers?
2. What are some of the major challenges confronting the international trading system?
Opening New Markets for America's Workers
• President Bush addressed the Women's Entrepreneurship in the 21st Century Forum where he discussed his policies to strengthen the economy and create jobs in America by:
o Opening foreign markets to U.S. products and services and providing a level playing field for American workers;
o Creating the conditions for American companies and workers to compete and outperform the world;
o Making sure that America's workers have the best skills and education in the world.
• President Bush's top economic priority is the creation of more jobs for American workers. Free and fair trade will help create more higher-paying jobs for American workers by opening new markets for American products and services, bringing lower prices and more choices to American consumers, and attracting foreign companies to invest and hire in the United States.
• America is economically stronger when we participate fully in the worldwide economy. When 95% of the potential customers for American products live outside the U.S., America must reject policies that would result in economic isolationism.
• For example, in Ohio thousands of workers. jobs depend on trade agreements that enable Ohio-made products to compete in markets around the world. Since the enactment of NAFTA in 1994, Ohio's exports to Mexico have tripled, and last year exports totaled more than two billion dollars. Since the end of 2000, Ohio's exports increased more than any state in the country. Exports are vital to our Nation's economic strength and in 2004, America is selling computer chips to Japan, producing BMWs for export to Germany, and exporting California wine to France.
Background - Job Creation for America's Workers
• Opening markets to U.S. products and services is an important part of the President's six-point plan for sustaining America's economic recovery and creating new jobs for American workers. According to government statistics:
o U.S. exports ...
This solution explains macroeconomics and microeconomics and how they relate to the management of a global organization, including when international trade is an opportunity for workers and when it is a threat to workers as well as identifies some of the major challenges confronting the international trading system. Supplemented with an article on the free trade agreement.