Question

Using your economic knowledge and your research, compose a 350- to 450-word editorial that evaluates the effectiveness of these two agreements(The United States—Colombia Trade Promotion Agreement (TPA) &The Dominican Republic-Central America FTA (CAFTA-DR) in bettering the US economy. Keep in mind that evaluating means discussing the pros and the cons, picking the side that seems stronger, and using facts to justify your choice.

Be sure to use topic sentences, transitions, conclusions, and introductions; proofread your editorial; and cite your sources.

Answer 1

My answers to PART A and PART B

Step-by-step explanation:

Consumers are typically harmed as a result of rising taxes on consumer goods and real estate. Because countries often have little control over where large corporations register to avoid paying taxes, they are frequently forced to raise other taxes to compensate for revenue lost due to corporate tax avoidance. However, this is where all the agreements come to help.

All industries in an economy do not gain equally from trade agreements. In reality, by engaging into trade agreements, even member countries enjoy various benefits. Despite these disadvantages, the US continues to follow through on its pledge to free trade. The United States signed a trade protection agreement (TPA) with Colombia in 2012 and in 2004 the CAFTA-DR. Both of these agreements have been in effect for some time. The question now is whether or not these accords have benefitted the US economy. Let's look at the economic consequences of the bilateral agreements with Colombia and Honduras Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, as well as the Dominican Republic.

The International Trade Commission (ITC) anticipated that the US–Colombia TPA will boost national GDP by $2.5 billion, according to the US Trade Representative (Office of the US Trade Representative). Exports to Colombia jumped from $12.0 billion in 2010 to $18.3 billion in 2013 as a result of the TPA (US Department of State). The TPA appears to have delivered on its promise, as US exports to Colombia surged by 30% in 2013, according to the US Trade Representative (Office of the US Trade Representative). As a result, Colombia is a valuable market for the United States monetarily.

With $57.4 billion in total (two-way) goods trade in 2018, the CAFTA-DR nations would rank as the United States' 18th largest goods trading partner. The entire value of exports was $32.2 billion, while imports were $25.2 billion. In 2018, the United States' goods trade surplus with CAFTA-DR nations was $7 billion. In 2014, U.S. goods exports to CAFTA-DR generated an estimated 134 thousand jobs, according to the Department of Commerce.

In the United States, the export industry is critical to promoting economic growth and creating jobs. For US exporters, Colombia, Honduras, and the other nations are huge and essential markets. Other countries compete with the United States for access to these markets. American goods can compete effectively in these markets by establishing trade agreements. Although the accords with Colombia and Honduras, among others, are opposed for legitimate reasons, they will help the US economy in the long run.

Answer 2

The benefits of trade agreements are not felt evenly by all industries in an economy. In fact, even member nations gain varying advantages by entering into trade agreements. However, despite these drawbacks, the United States continues to act on its commitment to free trade. In 2005, the United States signed a fair trade agreement (FTA) with Australia, and in 2012, it signed a trade protection agreement (TPA) with Colombia. Both agreements have been in force for a while. Now the question is, Have these agreements benefited the US economy? Let’s examine the impact of the bilateral agreements with Colombia and Australia on the US economy.

According to the USTR, the International Trade Commission (ITC) predicted that the United States–Colombia TPA would increase national GDP by $2.5 billion (Office of the US Trade Representative). Under the TPA, US exports to Colombia increased from $12.0 billion in 2010 to $18.3 billion in 2013 (US Department of State). The TPA seems to have delivered on its promise, because according to the USTR, US exports to Colombia increased by 30% in 2013 (Office of the US Trade Representative). So financially, Colombia is a lucrative market for the United States. However, the main opposition to the TPA stemmed from concerns about the terrible labor conditions in Colombia and the violent threats to those seeking to improve labor conditions in a country rife with crime. Although violence is a major concern, the FTA will eventually help both nations by bringing about social and labor reforms through economic activity. By helping Colombia become a peaceful country, the United States can pave the way for increased trade with Colombia in the future.

The United States–Australia FTA received considered opposition in both countries. US dairy farmers, ranchers, and small farmers were anxious about job losses resulting from the free entry of Australian products into the US market. However, if we judge by the boost in exports, the FTA has contributed to overall US economic growth. According to the USTR, in the first five years of the FTA, US exports to Australia increased by 33% (Office of the US Trade Representative). The FTA removed all tariffs on American imports into Australia, giving US exporters barrier-free entry into Australian markets.

The export industry plays a key role in driving economic growth and generating jobs in the United States. Colombia and Australia are two large and important markets for US exporters. The United States faces competition from other nations for access to these markets. By signing trade agreements, American goods can compete effectively in these markets. Although the agreements with Colombia and Australia are opposed for valid reasons, the agreements will benefit the US economy over time

Step-by-step explanation: