MONIZHA SELVAN

BBA 1909-1442

QUIZ 1

A global market place is an institutional structure that allow people and organizational to exchange

goods, services and labors as well. This activity is not limited to specific geographic location. People and

organization can export or import all the goods and services anywhere they want to. Instance, the

business located at United States but the products components maybe sends from various country such

as Japan, China, Korea and many more.

The United States economy is highly developed mixed economy. United States holding the largest

economy by nominal GDP and net wealth. Moreover, it is the second largest by purchasing power parity

(PPP). In 2016, United States was the largest trading notion as well as second largest manufacturer,

representing a fifth of the global manufacturing output. The US not only has the largest internal market

for goods but also dominates the services trade.

Besides, as we can see the U.S economy highly developed and technologically advanced services sector,

which accounts for about 80% of its output. There are top 5 industries driving United States economy

successfully such as health care, technology, non- durable manufacturing, retail and constructions. The

healthcare sector has helped the United States recover from financial crisis. Healthcare management

guided to healthcare degrees for prospective students says there are four reasons for the booming

healthcare sector. First, an increasingly aging population is creating a need for additional services.

Second, chronic conditions suffered by the aging population are increasing the demand for healthcare

workers. Third, medical advances and improvements are expanding the type and number of jobs

available. And finally, federal healthcare insurance reform has increased the number of people seeking

routine medical care. All these added 2.8 million jobs between 2006 and 2016, which was seven times

faster than the overall economy.

The tech sector is a huge component of the U.S. economy, according to Cyber states 2019, an annual

analysis of the nation’s industry published by CompTIA. Employment in computer and IT is projected to

grow 11% from 2019 to 2029, faster than the average for all occupations. Technology plays a role in

almost all other sectors, such as healthcare, advanced manufacturing, transportation, education, and

energy. The Internet of Things, artificial intelligence, machine learning, autonomous vehicles, and

augmented and virtual reality are all changing society and industries.

The non-durable manufacturing industry produces commodities that are defined as having a lifespan of

less than three years, such as gasoline, electricity, and clothing. Non-durable manufacturing is a

predominant pillar in the U.S. with a GDP value-added that's 4.8% of the national GDP, according to the

Federal Reserve. The non-durable manufacturing sector is less valuable than durable manufacturing;

however, it employs more people and accounts for 4.4 million jobs compared to 349,000 jobs from

durable manufacturing.The retail trade accounts for 5.5% of the nation's GDP, providing 9.6% of total

employment in the U.S., according to the Bureau of Labor Statistics. The sector includes online retailers

such as Amazon and eBay, as well as brick-and-mortar establishments. Lastly Construction spending hit

an annual rate of $1.365 trillion during 2019, according to data from the Census Bureau.

Furthermore, the impact of the COVID-19 crisis was incredibly heavy on the U.S. labor market. According

to the Employment Situation of December 2020 described by the Bureau of Labor Statistics, in

November the unemployment rate edged down to 6.7% such rate is down by 8% from its recent high in

April but is 3.2% higher than it was in February. The number of unemployed persons, at 10.7 million,

continued to trend down in November, but it is still 4.9 million higher than in February. The IMF forecast

an unemployment rate of 5.8% for 2021, decreasing further to 4.2% the following year. American

citizens enjoy one of the highest GDP (PPP) per capita in the world, estimated at USD 65,118 in 2019 by

the World Bank. Nevertheless, current public health policies tend to worsen income inequalities, with
the number of people without health insurance edging up during Trump’s administration. In 2020, there

were 34 million people in poverty, approximately 4.2 million U.S. Census.

Other than that, more than 493m full-time-equivalent jobs, most belonging to women and youth, were

lost in 2020, and the global GDP declined by 4.3%. The International Monetary Fund noted that this

crisis might have been much worse if not for strong government intervention. Governments have

provided an unprecedented level of support to businesses and citizens through direct funding,

investments, tax reductions and targeted distribution of goods. This level of support, however, has come

at a cost of ballooning government debt.  

In conclusion, The World Bank is predicting a modest rebound in 2021, with 4% growth in global output,

contingent upon broad scale COVID-19 vaccination success and government policies and programs that

promote private-sector growth and reduced public-sector debt.