on, Lake Erie, and Lake Ontario. They are all joined together by short rivers or canals, and the St. Lawrence River joins them to the Atlantic Ocean. The region around the Great Lakes is known for its changeable weather. In the west of the USA there is another lake called the Great Salt Lake.USA has many natural resources, such as coal, petroleum, and natural gas. The economy of the US is based upon free enterprise.United States is one of the few countries in the world that has no official national language. The basic language spoken throughout the country is American English. The second language is Spanish.
CHAPTER 2. CHATACTERISTICS OF THE ECONOMY OF THE USA
2.1 The basis of the us economy
The American economy is described as a free enterprise system, which allows private business the freedom to operate for profit with minimum government regulation. The theoretical foundation of the American economic system was provided by Adam Smith whose economic ideas of free competition influenced the development of capitalism. From his standpoint the more people manufacture and trade the greater the competition. Competition benefits society by allowing the consumer to search for the best available product at the lowest price. Thus market forces, which Smith termed the invisible hands, control the allocation of goods while each participant in the market is seeking for his own self-interest. the nineteen century market operated with a minimum government regulations. Since the 1930-s American capitalism has undergone a radical changes. Although a private enterprise flourishes, government regulation now exists in many areas of business ranging from product safety to labor conditions. Political conservatives complain of too much government regulation while the liberals are out for the enhance of government role in business and economy. country s reliance on private initiative and enterprise has produced impressive growth. economy of the United States today is the world s largest national economy. Its nominal GDP was estimated to be $ 14.3 trillion in 2009, approximately a quarter of nominal global GDP. Its GDP at purchasing power parity was also the largest in the world, approximately a fifth of global GDP at purchasing power parity. The US economy also maintains a very high level of output per capita. In +2009, it was estimated to have a per capita GDP of $ 46,381, the 6th highest in the world. Historically, the US economy has kept a stable overall GDP growth rate, a low unemployment rate, and high levels of research and capital investment funded by both national and, because of decreasing saving rates, increasingly by foreign investors. It has been the world s largest national economy since +1870 and remains the world s largest manufacturer, representing 19% of the world s manufacturing output. In +2009, consumer spending coupled with government health care spending constituted 70% of the American economy. About 30% of the entire world s millionaire population reside in the United States (in 2009). [14] Furthermore, 40% of the world s billionaires are American. The US is also home to the world s largest stock exchange, the New York Stock Exchange. It also boasts the world s largest gold reserves and the world s largest gold depository, the New York Federal Reserve Bank. The United States is also home to 139 of the world s 500 largest companies, which is almost twice that of any other country. A large contributor to the country s success has also been a very strong and stable currency. The US dollar holds about 60% of world reserves, as compared to its top competitor, the euro, which controls only about 24% .the 1960s, the United States economy absorbed savings from the rest of the world. The phenomenon is subject to discussion among economists. The US is by far the most heavily invested-into country in the world, with foreign investments made in the US measuring almost $ 2.4 trillion, which is more than twice that of any other country. The US is also by far the largest investor in the world, with US investments in foreign countries totaling over $ 3.3 trillion, which is almost twice that of any other country. Like other developed countries, the United States faces retiring baby boomers that have already begun withdrawing from their Social Security accounts; however, the American population is young and growing when compared to Europe or Japan. The United States public debt is in excess of $ 13 trillion and continues to grow at a rate of about $ 3.83 billion each day. Total public and private debt was $ 50.2 trillion at the end of the first quarter of 2010, or 3.5 times GDP. Domestic financial assets totaled $ 131 trillion and domestic financial liabilities totaled $ 106 trillionAmerican labor market has attracted immigrants from all over the world...
