Friday, October 24, 2014
Chapter 9 Question 6
While reading Naked Economics a passage that stuck with me is when Wheelan mentioned how recessions can spread across borders. I often wonder why politicians care so much or take so much interest in foreign policies and dealing with international trade etc, the answer is because those countries simply effect us. "If other powerful countries fall into recession, they stop buying our goods and services- and vice versa"(205). We need to stop thinking of this world as a competition between each country but as we are a team working together, because overall we kinda are a team. By us buying goods from Mexico there economy is stronger and same with china and Japan. Wheelan mentions how the U.S. consumes the most goods in the world, that is a huge effect on the exporting economies around the world. In conclusion major economies around the world effect countries around the world in positive and negative ways. So when answering why to take so much interest in other countries economies we have a clear answer by Wheelan.
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