Trade Between The Us And The Eu - 1461 Words

Trade between the US and the EU leaves a ripple effect, not only through their own economies, but throughout the world economy, given that these are two of the world’s wealthiest nations. â€Å"The transatlantic economy is the largest and wealthiest market in the world, accounting for over 50 percent of world GDP in terms of value and over 40 percent in terms of purchasing power.† Years of trade between these two giants has demonstrated the mutual benefits of trade and has set the standard for both developed and developing countries. Their example shows the interdependence that different countries uphold and the efficiency that would result if all embraced this inter twine rather than fought to independently produce their own goods, encouraging†¦show more content†¦The US’ GDP alone makes up nearly a quarter of the world’s GDP, being estimated at $17.311 trillion as of 2014. â€Å"It’s GDP at purchasing power parity is also the largest of any country in the world, approximately 18% of the global total. The U.S. dollar is the currency most used in international transactions and is the world s foremost reserve currency.† (Wikipedia) Their GDP composition is 1.1 percent agriculture, 19.5 percent industry, and 79.4 percent services, signaling that it owns a significantly vibrant workforce made of an estimated 155.4 million. This characteristic is reinforced by the fact that according to The Washington Post, Americans work 20 percent more hours throughout the year than their European counterparts. America’s industries are vast and as the CIA describes them, they are â€Å"highly diversified and world leading†. The USA is a â€Å"high-technology innovator [and] second largest industrial output in the world†, specializing in the sectors of â€Å"petroleum, steel, motor vehicles, aerospace, telecommunications, chemicals, electronics, food processing, consumer goods, lumber, and mining† commo dities. Their industrial production growth rate, measured as of 2013, is 2.5 percent. While still in the process of coming out from a hard-hit recession over this past decade, its unemployment rate is 7.3 percent. The US has an economic power to be reckoned with, and it has strategically partnered with another part of the world whose political economic power