America Market

  

America or US , the land of dreams for many a people is perhaps the epitome of a free market economy as is espoused by many economists around the world. USA is perhaps the sole remaining superpower in the world which exerts considerable influence throughout the globe in spheres of economics, politics, culture and weapons and ammunition. The America Market or US economy can be described as a capitalist mixed economy which still continues to be the largest economy of the world with an estimated Gross Domestic Product (GDP) of more than trillion at the end of 2006 , about 22 % of the world GDP . A developed nation by any standard, the economic growth of the US economy is stimulated by an abundance of natural resources, well-developed infrastructure and the high productivity of its workers. Although private organizations account for the bulk of the economic structure, the government sector constitutes for about 36% of the GDP. But the regulatory burden on the companies and its social safety net is considerably less stringent than in most other developed countries.

The values of the free market system as practiced by America can be seen in high per capita GDP’s for the country as a whole. The median incomes nationally for USA as estimated by the US Census Bureau stood at $46,000. This is very high if measured by any of the world standards. There is however a discrepancy between personal income and household income in the USA as about 42% of the households has two or more earning members. One of the main points to be noted in this context is that while the standards of living for all income classes across the country has increased , the income inequality has also increased consistently since the 1970’s.

Some key features of the America market economy or the American markets can be summarized as :-

Foreign Trade : The US is the largest worldwide importer and the second largest exporter around the world . However, the trade deficit in the first quarter of 2007 showed an upward trend as international deficit in goods and services increased to $63.9 billion in March from $57.9 billion in February according to the Foreign Trade Statistics by the US Census Bureau . The major trading partners for the USA are China, Canada, Mexico, Japan and Germany . Major US exports are in the field of automobiles, computers and electronic goods whereas the major US imports comprise food grains, textiles and raw cloth.

Stock Market : The stock market is one of the pillars of the USA economy with key players such as the American Stock Exchange, New York Stock Exchange (NYSE) and the NASDAQ . The key stock market indices in America are the Dow Jones Industrial Average and the Standard & Poor (S&P) 500 . The NASDAQ ( National Association of Securities Dealers Automated Quotations) is an electronic American stock market with the added feature that its stock is listed on its own stock exchange.

The values of the American way of life are enmeshed in the concept of liberal democracy enshrined in the US constitution. Thus the free market system has thrived on the US soil. The capitalist system prevalent in the country has led to higher incomes and higher standards of living compared to most developed countries. As a result one of the most booming American markets at present is the automobile market and the market for sophisticated electronic equipments or technologies. America registered the highest number of internet users as of 2006.