Dear Future President,
I would first like to congratulate your election into office. But there is work to be done for the American people. One major issue that concerns everyone is the economy. The economy is failing. If not now, it will in the future. To counter this corrosion of economy, we must increase international business. It is the best way to help the economy to grow and thrive; many people might not like it, because they believe the country will lose jobs. But it is something that is for the greater good of the country.
International trade can increase value of dollars according to EconomicsHelp.org. This means that the higher value of currency we have, the higher the exchange rate. For example, the highest valued currency (In 2016) is the Kuwait dinar. Kuwait is a small country has some of the world's largest oil supply, since there is such a surplus it exports much of it and imports other goods form other countries. Another way to increase value of the dollar is to actually buy foreign currency and save up. Then, in the future, sell the currency back flooding markets with the foreign currency, lower its value and increase demand for the dollar. If the US follows this tactic it can increase the value of the dollar and boost economy.
A more obvious benefit of international trade is more taxable products will flow in and out of the country. In this way, certain product's prices will be lowered, which encourage people to spend more. When people spend they are taxed which will also bring in money which will further boost economy. And when more people spend; demand goes up causing more businesses to grow because of this increase in profit and demand. So the flow of products caused by international trade benefits economy.
Another way the US can boost economy is by lifting some regulations on international trade, like encouraging small businesses to trade abroad. In this way, the business can make more money and in the long run, produce more jobs for people. I understand that corporations will abuse trade in a way. But you don't have to lift regulations from corporations. And more importantly it will really help small businesses of America thrive and grow to their full potential.
My third reason on why international trade could help the US is if the US lift regulations and goes abroad, business won't necessarily get outsourced. A few will, I admit, but the majority stays. And in compensation for outsourced businesses, some foreign corporations will be brought to the US, creating jobs for the people. For example, over the years, famous corporations came to the US like BMW, Toyota, another example is one of the largest cement company in the world called Cemex, employs about 15,000 US workers (According to Forbes.com). And on top of that, pay taxes that the US government imposes. Which will give major help to the economic and financial situation.
One important cause of international trade is that it discourages wars. According to a paper by Stanford University Economist, Matthew Jackson and candidate of Economics Ph.D., Stephen Nei; the paper talked about how trading internationally, countries rely on one another. Discouraging wars, because if they do attack it will hurt their own market in the process, that may lead to a recession. So with the addition of military alliances and international trade, countries become more peaceful to one another. This shows international trade can be seen as a way to pacify the world. A safer alternative than modern ways of warfare and occupation.
So there are many benefits to bring businesses and trade at a more international level. And I only listed a few, there are many more. I understand there a repercussions for doing this; but if the government slowly brings the economy internationally. It will help the US in the long run, and the US can rival the Chinese economy, maybe even surpass it. And America will be seen as the strongest economic superpower.
"No nation was ever ruined by trade"