DISCUSSION ON IMPORTANCE OF TRADE RELATIONSHIP BETWEEN AUSTRALIA AND THE UNITED STATES.
The trade relationship between Australia and the United States of America has a large amount of importance to the Australian economy in many ways; but in some cases; can affect the Australian economy in a negative way.
This trade relationship is important to the Australian economy because it provides jobs and employment for those involved in the trading industry; due to the fact that people have to transport the imports and exports to each country, people have to control customs; which involves the thorough checking of the imported and exported items for contamination and illegally imported products; such as drugs. There are also many other employment opportunities such as marine officers, Warf workers, managers of trade and governmental employment. Employment affects the economy because tender is put into the economy due to tax; and this affects the sectors within the economy.
However; the trade relationship between Australia and the United States of America can; in some cases, be a disadvantage to the Australian economy. This is due to the fact that if the Australian dollar (AUD) is low in value compared the United States dollar (USD); the price of Australia’s exports will decrease; and the economy will be affected. (Known as deprecation) If the Australian dollar is high in value compared to the United States dollar; exports will be of a higher value; and tender will be put into the trade sector of the Australian economy. (Known as appreciation).
As well as these points; the Australian economy may be affected in a negative way in relation this trade relationship due to the fact that one of the countries involved in the Australian- United States Free Trade Agreement may violate the laws within the agreement. This can result in the countries bonds being affected in a negative way; and can affect Australia’s economy because of the lack of commitment within the Free Trade Agreement.
The trade relationship between Australia and the United States can affect the Australian economy in positive and negative ways.
This trade relationship is important to the Australian economy because it provides jobs and employment for those involved in the trading industry; due to the fact that people have to transport the imports and exports to each country, people have to control customs; which involves the thorough checking of the imported and exported items for contamination and illegally imported products; such as drugs. There are also many other employment opportunities such as marine officers, Warf workers, managers of trade and governmental employment. Employment affects the economy because tender is put into the economy due to tax; and this affects the sectors within the economy.
However; the trade relationship between Australia and the United States of America can; in some cases, be a disadvantage to the Australian economy. This is due to the fact that if the Australian dollar (AUD) is low in value compared the United States dollar (USD); the price of Australia’s exports will decrease; and the economy will be affected. (Known as deprecation) If the Australian dollar is high in value compared to the United States dollar; exports will be of a higher value; and tender will be put into the trade sector of the Australian economy. (Known as appreciation).
As well as these points; the Australian economy may be affected in a negative way in relation this trade relationship due to the fact that one of the countries involved in the Australian- United States Free Trade Agreement may violate the laws within the agreement. This can result in the countries bonds being affected in a negative way; and can affect Australia’s economy because of the lack of commitment within the Free Trade Agreement.
The trade relationship between Australia and the United States can affect the Australian economy in positive and negative ways.