United States - Economic analysis of the United States government's growth and job creation policies, investment climate and political risk.

THE

MIKE P. McKEEVER INSTITUTE

OF

ECONOMIC POLICY

ANALYSIS

UNITED STATES OF AMERICA: Economic Policy Analysis

This site presents seven analyses of the United States government's economic policies compared to a list of 35 economic policies as prepared by students Lilah Segal-Angel, Victor Chen, Ciana Knight, Alexander Kung, Maddie Papenfuss, Brandon Peace and Nhi Tran with the Mike P. McKeever Institute of Economic Policy Analysis (MIEPA). These studies were written in December 2019. To read the analyses scroll through this site. To learn more about the background policies, click here

  • Introduction and Policy Recommendations
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    The first study is by Specialist Lilah Segal-Angel, and is presented immediately below. To read the additional studies by, Victor Chen Ciana Knight, Alexander Kung, Maddie Papenfuss, Brandon Peace and Nhi Tran, scroll though the study by Lilah Segal-Angel.

    LILAH SEGAL-ANGEL


    RATING SUMMARY - LILAH SEGAL-ANGEL  
    
    POLICY NUMBER      RAW SCORE   ADJUSTED SCORE     POSSIBLE  PERCENTAGE
    
            1               5.0          15.0             15.0       100 %
    
            2               5.0          15.0             15.0       100
    
            3               3.0           9.0             15.0        60
    
            4               5.0          15.0             15.0       100
    
            5               4.0          12.0             15.0        80
    
            6               5.0          15.0             15.0       100
    
            7               3.0           9.0             15.0        60
    
            8               3.0           9.0             15.0        60
    
            9               2.0           6.0             15.0        40  
    
            10              5.0          15.0             15.0       100
    
            11              5.0          15.0             15.0       100
    
            12              3.0           6.0             10.0        60
    
            13              5.0          10.0             10.0       100
    
            14              3.0           6.0             10.0        60
    
            15              5.0          10.0             10.0       100
    
            16              3.0           6.0             10.0        60 
    
            17              2.0           4.0             10.0        40
    
            18              5.0          10.0             10.0       100
    
            29              2.0           4.0             10.0        40
    
            20              2.0           4.0             10.0        40
    
            21              5.0          10.0             10.0       100
    
            22              2.0           4.0             10.0        40
    
            23              2.0           4.0             10.0        40      
    
            24              5.0          10.0             10.0       100
    
            25              3.0           6.0             10.0        60
    
            26              1.0           2.0             10.0        20
    
            27              3.0           6.0             10.0        60
    
            28              5.0          10.0             10.0       100
    
            29              3.0           3.0              5.0        60  
    
            30              3.0           3.0              5.0        60
    
            31              5.0           5.0              5.0       100
    
            32              5.0           5.0              5.0       100
    
            33              4.0           4.0              5.0        80 
    
            34              5.0          10.0              5.0       100
    
            35              2.0           2.0              5.0        40
    
       TOTAL              128.0          279.0           370.0        75.4%
                          =====          ======          =====        =====
    
    

    INDIVIDUAL POLICIES - LILAH SEGAL-ANGEL

    1.Freedom from Internal Control (5.0)

    Mobility rights are clearly listed in article thirteen of the Universal Declaration of Human Rights. They ensure that any citizen is able to move or reside where they please in the state. This affects business in a crucial way. If someone sees that there is potential for a larger profit margin somewhere else in the country, they have all the agency they need to move.

    This is largely in contrast to other countries such as China and Russia, where citizens need an internal passport to even travel between states.

    https://projectpartner.org/poverty/hukou-system-explained-chinas-internal-passport/

    https://en.wikipedia.org/wiki/Freedom_of_movement_under_United_States_law

    2. Freedom of speech (5.0)

    One of the most well known and highly regarded principles of the United States democracy is the employment of freedom of speech. This is a non partisan consensus, which brings people together. The first amendment to the constitution ensures freedom of speech. This includes freedom of the press, religious establishments, and the right of people to petition of government. Organizations such as the American Civil Liberties Union (ACLU) are founded to ensure this is carried out and will represent those they don't believe have freedom of speech.

    For businesses, this ensures they are able to not worry about government action taken against them for what they are selling.

    In the United States, we also have freedom of the media. Anyone can create an account, channel, news or radio station, and begin talking about their views. Their views could be liberal or extreme, or even disagree and bash on the government. However, as the constitution states, this is not punishable by law offence.

    https://www.law.cornell.edu/constitution/first_amendment

    https://www.aclu.org

    3. Effective, fair police force (3.0)

    While the U.S. police force is relatively effective, the fairness of it is explicitly bad. The police force has had many scandals of racism, especially with murdering many minorities, young black men in particular. Criminalization rates of minorities are highly disproportionate compared to population, even when minorities are not more likely to commit crimes.

    For example in New York City, the implementation of stop and frisk lead to 90% non-whites getting stopped, 53% of those being African Americans. In contrast to the population, which was 66% non-whites and only 25% black. In other words, an African American was twice as likely to be stopped then they were to be black. Businesses however, are protected by police and need not fear in the same way individuals might.

    https://www.washingtonpost.com/news/wonk/wp/2013/08/13/heres-what-you-need-to-know-about-stop-and-frisk-and-why-the-courts-shut-it-down/

    https://inthesetimes.com/working/entry/17520/police_unions_racist

    4. Private Property (5.0)

    The fifth amendment in the United States constitution states that no person will be deprived of property. Property rights are one of the distinguishing aspects the framers of the United States constirtution saw as valuable. The United States protects property under law. Should citizens own private property, it is the courts role to intervene and judge if large scale issues arise. For example in the situation of a stolen goods, the police force will assess the situation and it will be brought to court if too large. We are protected with protection of our ownership.

    https://www.law.cornell.edu/constitution/fifth_amendment

    https://people.uwec.edu/ivogeler/w270/privateproperty.htm

    5. Commercial Banks (4.0)

    In the United States, the Federal Deposit Insurance Corporation insures the national banking system. The number of FDIC insured banks has declined by 3,162 banks. The two leading commercial banks are JP Morgan and Chase. Commercial Banks work more with businesses or individuals.

    As our economy has been growing, so has the importance of these banks. The primary use purpose of these banks is to make loans and accept deposits. Business expansion is largely contingent on capital, enabled by the loans. In 2020 the projected annual revenue is over 250 billion dollars. Even though the number of banks has declined, the value of their loans has increased.

    Despite political corruption (2008 recession and bail out) commercial banks are vastly important in our economy, especially in the entrepreneurship sector.

    https://www.statista.com/topics/4406/commercial-banks-in-the-us/

    https://www.statista.com/statistics/184536/number-of-fdic-insured-us-commercial-bank-institutions/

    6. Communication 5.0

    The federal communications commission is an independent government agency that overviews and regulates all domestic and international communication: satellite, radio, television, wire, and cable. It was formed in 1934 by the Communications Act. They also manage smartphone companies, and wifi providers, making sure there are no monopolies and competition remains.

    Citizens are able to communicate to anyone domestically (and in most cases internationally) provided they have the needed technology. Communication is easily accessible through phone calls, text messages, email, and postal services.

    https://www.fcc.gov

    https://en.wikipedia.org/wiki/Federal_Communications_Commission

    7. Transportation 3.0

    Transportation in the United States is heavily reliant on cars. There is not a public transportation system to travel across the country and in many cases just to travel between cities. To travel one would need to fly, drive their own car, or go with a private bus company. Even in New York City, known for its subway system is bar below its 1947 peak of riders.

    Many european countries have well developed train systems that even travel internationally. In Japan, the bullet train, with the ability to travel at 320 kilometers per hour, has gained acclimation as a rapid mass transit method.

    However, America is quite accessible through private means. There are over 330 international airports with a larger amount carrying domestic flights. Long highways connect states, and if someone owns a car, they do possess the individual ability to go anywhere on the mainland.

    I am giving it 3.0, as the United States has the resources, technological ability, and obvious need for vast improvements.

    https://www.japanstation.com/shinkansen-high-speed-train-network-in-japan/

    https://www.citylab.com/transportation/2018/08/how-america-killed-transit/568825/

    8. Education (3.0)

    The United States education system is one of the largest institutions of education in the world. There are over almost 133,000 K-8 schools, according to data from the National Center for Education Statistics. A large amount of regulations for school, such as number of mandatory days per year and standardized testing, are determined by state. So, a student will have a different experience in across the country. Additionally, there is a large divide between public and private schools. Private schools generally have a smaller student to teacher ratio, and studies have shown they provide a higher level of academics, when SAT/ACT scores are compared.

    Nationally, the United States doesn’t have the bragging rights it does when we can compare our GDP. According to the Pew research center, we are nowhere near being in the top 20 for Science and Reading and are much closer to 40 for Mathematics in an international ranking. Singapore comes in first for all three.

    While public education is free and accessible to all, there are many limitations and inconsistencies throughout the country. The education system is ranked at 3.0 as there is still a lot more to go.

    https://www.pewresearch.org/fact-tank/2017/02/15/u-s-students-internationally-math-science/

    https://www.daytondailynews.com/news/local-education/private-schools-top-public-average-act-sat-scores/ogxXenS4uDB7Hv6w39RtBK/

    https://nces.ed.gov/programs/digest/d17/tables/dt17_105.50.asp?current=yes

    9. Social Mobility (2.0)

    America was founded on ideals of social mobility, the story coined as the American Dream. It showed many people arriving as immigrants and raising their status to heads of businesses. In reality, the majority of people keep their social status. According to the economist, a person who was born in the bottom 20% of U.S. social status, they only have a 7.8% chance of rising to the top 20%.

    https://www.economist.com/graphic-detail/2018/02/14/americans-overestimate-social-mobility-in-their-country

    10. Shares of all jobs in small businesses (5.0)

    The United States office of Advocacy classifies small businesses as those with less than 500 employees. They list that small businesses make up 99.7% of all United States employer firms. In 2015, small businesses employed 47.9% of all those in the workforce. The United States government promotes and encourages cultivation of small businesses. We recognize their positive impact on the economy, especially when it comes to lowering the unemployment rate.

    https://www.sba.gov/sites/default/files/advocacy/2018-Small-Business-Profiles-US.pdf

    https://www.sba.gov/sites/default/files/FAQ_Sept_2012.pdf

    11. Freedom from outside control (5.0)

    The United States has been universally known as one of the leaders in modern democracy. It has a strong rule of law rooted in the ideals of freedom and power to the people. One of the main components is checks and balances, so no branch of government has the most power.

    In addition, the U.S. has natural rights that are “life, liberty, and the pursuit of happiness.” This stretches far beyond what most countries institute, hold as ideal, and practice.

    https://freedomhouse.org/report/freedom-world/2019/united-states

    https://www.khanacademy.org/humanities/us-government-and-civics/us-gov-foundations/us-gov-ideals-of-democracy/a/the-ideas-at-the-heart-of-us-government

    12. Protection of domestic enterprises (3.0)

    To protect domestic enterprises, countries will institut tarifs to try and encourage consumers to purchase within the economy. Currently U.S. President Trump has instituted new tariffs and significantly raised them in order to try to combat the large trade deficit we are in.

    However, previously the U.S. has been known for record low trade tariffs. Adam Smith was a big promoter of low tariffs, as they would interrupt free trade. According to the World Bank, in 2016 the U.S. had tarifs of 1.61% while Canada was much lower at 0.85% and China much higher at 3.58%.

    https://www.pewresearch.org/fact-tank/2018/03/22/u-s-tariffs-are-among-the-lowest-in-the-world-and-in-the-nations-history/

    https://www.americanactionforum.org/research/the-total-cost-of-trumps-new-tariffs/

    https://www.investopedia.com/ask/answers/042315/how-do-tariffs-protect-domestic-industries.asp

    13. Foreign Currency Transactions (5.0)

    U.S. currency holds one of the highest regards internationally. According to the U.S. security and exchange commission, much of European exchange rates is conducted in USD. 65% of printed dollar bills are used internationally, with 75% of $100 bills also used outside of the country. In addition, many countries calculate their GDP in terms of USD.

    https://www.thebalance.com/world-currency-3305931

    https://www.sec.gov/answers/forcurr.htm

    14. Border Control (3.0)

    The responsibility of border control falls to the United States Customs Border Protection, which is part of the national government. They manage and control border security, immigration, and agricultural protection. In addition, over 60,000 people are employed by them. Since the Trump administration took office, the border has been in the news frequently. There has been much discussion of building a wall spanning the entire 2,000 mile US-Mexico border. In February 2019, President Trump declared a state of emergency because it was not being built.

    Currently, there are thousands of immigrants who are detained in camps across the border seeking refuge. Many of them are forced into dire conditions and as a result have been in compressed health, some resulting in death.

    https://www.freedomforimmigrants.org/detention-statistics

    https://www.bbc.com/news/world-us-canada-46824649

    https://www.cbp.gov/about

    15. Currency (5.0)

    The United States currency is the most popular in the world. It is the most frequently traded as well as it being the unofficial reserve currency. A term coined “dollarization” means another country will put their currency into dollars value. This happens when their currency is unstable and unmanageable. This occurred in Zimbabwe in 2008.

    https://www.investopedia.com/terms/d/dollarization.asp

    https://www.investopedia.com/articles/forex/11/popular-currencies-and-why-theyre-traded.asp

    16. Cultural, Language Homogeneity (3.0)

    America has always been fast to pride itself on diversity and multiculturalism. However, in practice there is much evidence against that. For example, even in recent years some schools have banned spanish speaking outside of spanish class.

    In public places, many cities employ different languages for public service announcements. This however, has been a recent addition to encourage inclusivity, but mostly just appears in large urban centers.

    https://www.adcouncil.org/News-Events/Press-Releases/Ready-Campaign-Launches-National-PSA-in-Mandarin-with-Los-Angeles-Station-LA-18-KSCI

    https://www.edweek.org/ew/articles/2003/10/29/09spanish.h23.html

    17. Political Effectiveness (2.0)

    Since Donald Trump took office in the United States, we have multiple government shutdowns. The most recent one was the longest in U.S. history and caused many negative ripple effects, such as no airport security.

    In addition to government shutdowns, President Trump has also created an extreme divisiveness which hinders effectiveness. For example, he has created a strong “us vs. them” ideology in the government. That has dissipated into the masses, which create divisive elections.

    https://www.vox.com/policy-and-politics/2018/1/19/16905584/government-shutdown-history-clinton-obama-explained

    https://www.aljazeera.com/indepth/features/trump-america-divided-190805093010244.html

    18. Institutional Stability (5.0)

    Governmental institutional stability is something that separates it from other countries, as well as being a large influence. The United States government was created in response from the oppressive government in Britain. Its model was to create enough stability and balance between official and the people.

    So far throughout history the constitution has been effective in that way. Unlike other governments, each time a term ends officials step down. We also have a distinct separation of powers. In addition, we have remained consistent in how policy is formed, how voting is conducted, and other ways that can only been structural and institutional stability.

    https://www.varsitytutors.com/earlyamerica/early-america-review/volume-13/constitution-separates-power

    https://www.lawliberty.org/2015/10/22/the-stability-of-constitutions/

    19. Honest Government (2.0)

    In 2018, the Corruption Perceptions Index ranked the United States at 22. While it ranks higher than many other countries in the big picture, considering the US is one of the most powerful and influential countries in the world, it is a poor ranking.

    Since the beginning of the US, government corruption has been active. Now, with the Trump administration it is even more prominent. We blatantly see this in regards to the 2016 election with Russian collusion.

    https://www.nber.org/papers/w10952

    https://www.transparency.org/cpi2018

    20. Common Law (2.0)

    Common law is unwritten expectations of civility. It appears where there are broad areas of law which are up for interpretation, and also ensures the equal treatment of people. In essence, no discrimintaion on the basis of gender, race, sexual orientation etc. In the US, common law is preached but not necessarily practiced. We see this in statistics, such as one from the NAACP, where they list African Americans being incarcerated at 5 times the rate of white people. Everyday people are treated inhumanely based off of their differences.

    https://www.naacp.org/criminal-justice-fact-sheet/

    https://www.upcounsel.com/legal-def-common-law

    21. Central Bank (5.0)

    The Federal Reserve bank is the United State’s central bank. It was founded in 1913 and remains of of the most powerful financial institutions in the world. Although it is the US bank, it operates outside of the government, so decisions that are made do not have to go through congress.

    The bank manages many things such as interest rates, monetary value/prices, and tries to ensure maximum employment. In other words it is in charge of maintaining financial stability in the US economy.

    https://www.federalreserve.gov/faqs/about_12594.htm

    https://www.investopedia.com/terms/f/federalreservebank.asp

    22. Domestic Budget Management (2.0)

    United States president announced his intended budget for 2020, at $4.746 trillion; that is the highest it has ever been. However, the predicted U.S. government revenue is $3.643 trillion. This budget would increase the debt deficit we are already in by $1.103 trillion. Despite the United States being the wealthiest nation in the world, it lacks skills in budget management.

    https://www.thebalance.com/u-s-federal-budget-breakdown-3305789

    https://www.thebalance.com/current-u-s-federal-government-tax-revenue-3305762

    23. Government Debt (2.0)

    As of February 2019, the United States hit a record of 22 trillion USD in public debt. The Congressional Budget Office projects a deficit increase over the coming years. In 2017, the United States was in debt 105.7% of the GDP. China, one of the US’s biggest competitors has almost half of the debt (ratio of GDP) of the US. However, Japan is in over twice the amount of debt (ratio to GDP) as the United States.

    https://www.cbo.gov/publication/55151

    https://www.npr.org/2019/02/13/694199256/u-s-national-debt-hits-22-trillion-a-new-record-thats-predicted-to-fall

    24. Economic Statistics (5.0)

    The United States practices an “open data” policy. This means the government honors data transparency and publishes many statistics for the people directly. Data is collected and published on many things (that include but are not limited to) crime, food and agriculture, transportation, labor, housing etc.

    Different departments of the government are responsible for publishing their own findings. For example, the Bureau of Labor Statistics publishes information on the consumer price index, the producer price index, and current employment statistics. For the BLS, data is published every year, second month, and bi-anually.

    https://www.bls.gov/data/

    https://www.usa.gov/statistics

    https://www.census.gov/quickfacts/fact/table/US/PST045218

    25. Protection of Public Health and Safety (3.0)

    Throughout the past century, The United States has implemented many health and safety initiatives and pieces of legislature. The U.S. Department of Health and Safety is a branch of the federal government which oversees these initiatives. They monitor many issues such a food safety and regulations, drug use and safety, Medical Device safety, and safety from violence and abuse.

    However, the United States still combats many issues relating to these focuses. For example, there is an Opioid epidemic involving many states and grave impact.

    The National Institute on drug abuse reportes states such as West Virginia and Ohio having nearly 50 per 100,000 people die in opioid overdose in 2017.

    In The United States the infant mortality rate is about 6 while most European countries are at least half as small as that. We are closer to Chile in ranking than we are to countries with unstable governments such as Greece. Iceland has the lowest rate.

    https://www.drugabuse.gov/drugs-abuse/opioids/opioid-summaries-by-state

    https://www.hhs.gov/programs/public-health-safety/index.html

    https://www.americashealthrankings.org/learn/reports/2018-annual-report/findings-international-comparison

    26. High Wage Policies (1.0)

    In 2019, the current federal minimum wage is $7.50 per hour; it has not increased since 2009. Minimum wage differs within cities and states, and an employee is entitled to the higher wage. With working a standard 40 hour work week, based off of the federal minimum wage, one would make $1,200 per month and $1,4400 annually (non adjusted for taxes).

    Even the places that are the cheapest to live in (Kansas, Arkansas) one would still need upwards of double working full time on the federal minimum wage.

    https://www.cnbc.com/2018/07/19/living-wage-for-a-single-person-in-every-us-state.html

    https://www.thebalancecareers.com/2018-19-federal-state-minimum-wage-rates-2061043

    27. Environmental Protection (3.0)

    In 1970 President Nixon established the Environmental Protection Agency (EPA). It serves to protect and conserve the health of the environment and people. The EPA creates laws and regulations in Washington D.C.

    In publishings from the EPA’s website studies conducted from the 1960’s compared to now show consistent decrease in airborne toxins. In a Yale and Columbia University study, the United States was ranked 29th in terms of water, and 10th in air quality.

    https://www.epa.gov/air-trends/air-quality-national-summary

    https://www.politifact.com/truth-o-meter/statements/2018/aug/23/donald-trump/united-states-not-cleanest-country/

    https://www.washingtonpost.com/climate-environment/2019/02/08/under-trump-epa-inspections-fall-year-low/

    https://www.investopedia.com/terms/e/environmental-protection-agency.asp

    28. Strong Army (5.0)

    In the world today, The United States has the strongest military in comparison to other countries. Despite having less active members on duty (compared to other countries), the US’ military budget in 2018 was $587.8 billion. China falls second in budget ranking, having a mear $162.7 billion.

    We also outperform other countries in number of tanks, aircrafts, air carriers, and rank second in submarines. The United States army is one of the most highly trained and influential militaries in the world.

    https://www.businessinsider.com/here-are-the-worlds-most-powerful-militaries-2018-2

    https://www.heritage.org/defense/heritage-explains/how-strong-the-united-states-military

    29. Foreign Trade Impact (3.0)

    The United States employs high trade tariffs to regulate prices, however, generally more trade restrictions hurt economies. Since 1975, the US has been in a trade deficit, meaning it consumes more imports than it exports.

    The US and China have the biggest trade deficit with Mexico following. Most of the deficit is created by the US producing raw materials and outsourcing the manufacturing to foreign countries.

    In 2017, the percent of GDP made up of trades (exports and imports) was 27%.

    https://data.worldbank.org/indicator/NE.TRD.GNFS.ZS

    https://www.thebalance.com/trade-deficit-by-county-3306264

    https://economix.blogs.nytimes.com/2008/12/10/the-impact-of-foreign-trade-on-the-economy/?mtrref=www.google.com&gwh=4794AF7CDDFCD609992561CB1583760D&gwt=pay&assetType=REGIWALL

    https://taxfoundation.org/impact-of-tariffs-free-trade/

    30. Management of Foreign Currency Budget (3.0)

    The United States currently has 128845 Million USD in foreign exchange reserves. This is managed by the US country Central bank. Reserves are either gold or a specific currency.

    The United States has significantly increases its federal reserve holdings throughout the past 50 years. Both China and Germany, two of the US's biggest economic competitors have very similar amounts on reserve.

    However, the U.S. is also in a grave trade deficit. Too many imports caused loans and therefore debt to the country.

    https://tradingeconomics.com/united-states/foreign-exchange-reserves

    31. Layers of collective action (5.0)

    In the United States, we employ a democratic government system. Outcomes are decided by a majority vote. In addition, terms of service are pre-decided for almost all members who hold government office. This provides incentive for all citizens to be politically educated and cast their votes.

    These values are protected constitutionally, and are also founding principles of the United States. The government is structured in a way that no branch, executive, legislative, or judicial has sole power. In addition to federal government offices, there are also many tiers of local representation. If someone should be seeking government intervention, they can go to a small local branch as opposed to one that is city, state, or nationally wide.

    https://www.usconstitution.net/consttop_cnb.html

    https://constitutioncenter.org/interactive-constitution/amendments/amendment-x

    32. Pro-business climate (5.0)

    The United States was founded on capitalism being its driving economic force. Entrepreneurs have been greatly encouraged since America's founding. Policy makers continue to make reforms to legislation to foster and grow the pro-business climate. Additionally, lower tax rates (relative to other countries around the world) give more incentives for entrepreneurship. Additionally, the United States GDP continues to grow, supporting claims that our country supports business (and therefore job) growth.

    https://www.areadevelopment.com/LocationUSA/2018-US-inward-investment-guide/united-states-remains-global-leader-in-business-investment.shtml

    https://tradingeconomics.com/united-states/gdp-growth

    33. Government enterprises (4.0)

    The United States government has high subsidization rates in funding for private enterprises that continues to rise. In this case, many enterprises in the transportation and agricultural sector (for example) rely on the subsidations to survive.

    Almost twenty two million people are employed by the United States government, contributing to a significant portion of the employment rate. Government employment is higher by a ratio 1.8:1 when compared to manufacturing employees.

    https://www.cnsnews.com/news/article/terence-p-jeffrey/21955000-12329000-government-employees-outnumber-manufacturing

    https://www.investopedia.com/articles/basics/11/introduction-to-government-subsidies.asp

    https://www.jec.senate.gov/public/_cache/files/782adf3c-65d0-4e3e-a5b9-b3e23d4fd01d/government-spending-and-economic-growth-3-27-95.pdf

    https://fred.stlouisfed.org/series/DDEI08USA156NWDB

    34. International security agreements (5.0)

    The United States has one of the strongest militaries in the world, as well as many International security agreement treaties. According to the United States Office of Management and Budget, fifteen percent of federal spending is used for defense. The United States spends $649 billion on military every year. Its strong military standing compared to other countries puts entrepreneurs in a good position for security.

    The United States is also a member of the North Atlantic Treaty Organization (NATO), which serves as a political alliance specifically in regards to security.

    https://www.pgpf.org/chart-archive/0053_defense-comparison

    https://www.rand.org/content/dam/rand/pubs/research_reports/RR700/RR736/RAND_RR736.pdf

    35. Protection of domestic enterprises from government mandated costs (2.0)

    The United States does not impose high tariffs on international trade exchanges. In addition, it also has high business regulations. This results in production to be more cost effective if it were held in another country with less government mandated costs. Regulatory costs in the United States per employee are higher for small businesses.

    https://www.investopedia.com/articles/economics/11/government-regulations.asp

    https://www.pewresearch.org/fact-tank/2018/03/22/u-s-tariffs-are-among-the-lowest-in-the-world-and-in-the-nations-history/

    **************************************************************************************************************

    VICTOR CHEN


    This study presents a detailed study of the economic policies of the United States, as written by Specialist Victor Chen. The ratings herein are based on the following rating scale:

    RATING SCALE

    5.0 Perfect Facilitation of Wealth Creation
    4.0 Midway between Perfect and Neutral
    3.0 Neutral Effect on Wealth Creation
    2.0 Midway between Neutral and Obstructionist
    1.0 Perfectly Obstructionist to Wealth Creation
    [Rating scale copyright Mike P. McKeever, 2018. Used herein with permission]

    RATING SUMMARY - VICTOR CHEN 
    
    POLICY NUMBER      RAW SCORE   ADJUSTED SCORE     POSSIBLE  PERCENTAGE
    
            1               5.0          15.0             15.0       100 %
    
            2               5.0          15.0             15.0       100
    
            3               2.0           6.0             15.0        40
    
            4               4.0          12.0             15.0        80
    
            5               4.0          12.0             15.0        80
    
            6               5.0          15.0             15.0       100
    
            7               5.0          15.0             15.0       100
    
            8               3.0           9.0             15.0        60
    
            9               2.0           6.0             15.0        40  
    
            10              5.0          15.0             15.0       100
    
            11              5.0          15.0             15.0       100
    
            12              2.0           4.0             10.0        40
    
            13              5.0          10.0             10.0       100
    
            14              3.0           6.0             10.0        60
    
            15              5.0          10.0             10.0       100
    
            16              3.0           6.0             10.0        60 
    
            17              4.0           8.0             10.0        80
    
            18              3.5           7.0             10.0        70
    
            19              1.0           2.0             10.0        20
    
            20              1.0           2.0             10.0        20
    
            21              5.0          10.0             10.0       100
    
            22              1.0           2.0             10.0        20
    
            23              1.0           2.0             10.0        20      
    
            24              5.0          10.0             10.0       100
    
            25              3.0           6.0             10.0        60
    
            26              2.0           4.0             10.0        40
    
            27              2.5           5.0             10.0        50
    
            28              4.5           9.0             10.0        90
    
            29              4.0           4.0              5.0        80  
    
            30              2.0           2.0              5.0        40
    
            31              4.3           4.3              5.0        86
    
            32              5.0           5.0              5.0       100
    
            33              3.5           3.5              5.0        70 
    
            34              4.0           4.0              5.0        80
    
            35              2.0           2.0              5.0        40
    
       TOTAL              121.3          262.8           370.0        71.0%
                          =====          ======          =====        =====
    
    

    INDIVIDUAL POLICIES - VICTOR CHEN

    1. Freedom from internal control: 5.0

    Within the United States, the citizens are granted the freedom to easily travel. In the Article 13 of the Universal Declaration of Human Rights, it guarantees the freedom of movement. This means that citizens are allowed to travel to different states as long as they are within the borders of the United States. This helps citizens create new enterprises and maximize wealth because of the vast freedom they have when it comes to traveling within the borders of the country. As long as the citizen does not have any threat against the safety and justice of the United States, they are freely travel.

    https://www.standup4humanrights.org/layout/files/30on30/UDHR70-30on30-article13-eng.pdf

    2. Freedom of speech: 5.0

    The freedom of speech has been granted by the First Amendment in the United States. Within the First Amendment, it protects citizens by granting them the freedom of speech, religion, press, assembly, and petition. This gives entrepreneurs to fully express themselves with ideas and would encourage them to start a business. Without censorship and restrictions like China, for example, this freedom amongst the citizens would allow entrepreneurs to have full access to the opportunities possible.

    https://www.history.com/topics/united-states-constitution/first-amendment

    https://www.ducksters.com/history/us_government/first_amendment.php

    3. Effective, fair police force: 2.0

    In the past century, we have seen many times of injustice when it comes to the police force. The fact of the matter is that minority groups like African Americans and Hispanics are more likely to be a target for the police rather than Whites. In many cases, this could come down to police brutality, racial profiling, and police misconduct. Although unarmed, African Americans are two times more likely to be shot and killed by a police officer as opposed to a White individual. In any given year, one out of every three people killed by the police are African Americans. 69% of African Americans who were affected by police brutality were not suspected of a violent crime. This creates a bad perception of the police force. Even though there may be a few prejudice police in the police force, their actions overshadow the good deeds police have done.

    https://vittana.org/42-shocking-police-brutality-statistics

    4. Private Property: 4.0

    In the United States, the citizens are protected by the Fifth Amendment when it comes to private property. Within this amendment, it protects the citizens by stating that the government cannot take private property away from citizens without “due process of law,” or fair procedures. As a result, this produces wealth for the entire economy. However, there is the possibility of corruption and even though it may be rare, we do explicitly see corruption in the government as of late 2019.

    https://www.investopedia.com/terms/p/property_rights.asp

    https://www.heritage.org/index/country/unitedstates

    5. Commercial Banks: 4.0

    In the United States, commercial banks have provided many business operations and services to businesses. As of right now in 2019, there are 4605 commercial banks in the United States. While it is shown that commercial banks have decreased over the years and that it will continue to decrease, we see that the annual revenue is about $240 billion by 2019. Commercial banks help provide loans to businesses, treasury management, and accepts deposits. In the United States, we see that such banks focus more of their attention towards businesses rather than individuals. As of right now, J.P. Morgan Chase is the leading commercial bank in the United States.

    https://ycharts.com/indicators/us_number_of_commercial_banks

    https://www.statista.com/topics/4406/commercial-banks-in-the-us/

    6. Communication Systems: 5.0

    America is known for its industrialized world. Here in the 21st century, the Internet has played a huge role in things like our communication system. With a majority of people in America having access to the Internet, people are able to effectively communicate through emails and other communication platforms. It has contributed to about 10% of the U.S. GDP in 2018, showing how much these communication systems have evolved us over the years. And if not by Internet, people also have access to phones where calls and texts can be used. When it comes to television, many media outlets present their news daily. Radio channels and TV networks like ABC News provide these services to the citizens of the United States. As a result, America has an abundance and variety of communication systems across the country.

    https://www.reuters.com/article/us-usa-internet-economy/internet-sector-contributes-2-1-trillion-to-u-s-economy-industry-group-idUSKBN1WB2QB

    7. Transportation: 5.0

    America has a public transportation system that is accessible to many citizens. Ranging from ferries to trains to buses, many people rely on these systems to get to work everyday. In San Francisco, we have many ways of transportation. Whether it is by Bart, MUNI, Caltrain, or the Ferry, people from out of the city are able to commute into the city daily for work. Like San Francisco, there are many roads that vehicles can drive on in the United States. If not by public transportation, people can either drive to work or use carpooling services like Uber and Lyft that offer rides at an affordable price. As for goods and products, the United States also have a variety of methods to ship products to consumers and materials for businesses. Services like FedEx and UPS provide fast shipping to the people in the United States. They can be transported by planes, trucks, or by ship depending on the types of material.

    https://www.apta.com/news-publications/public-transportation-facts/

    8. Education: 3.0

    Although many people believe that American education is still ranking within the top ten amongst other countries, it is simply not true. While education in the United States is still ahead of many other countries, it has become mediocre compared to education in countries like Finland. Ranking 27th in the world is rather low for the country with the highest GDP. In 1990, America’s education was ranked 6th. The fact of the matter is that America has followed a “factory model” when it comes to education. America needs to have more highly qualified teachers by paying them more. Even though America spends more money on each student than the rest of the other countries, we fall several years behind some countries in terms of education.

    https://observer.com/2018/01/how-american-students-truly-rank-in-international-testing/

    \https://www.theatlantic.com/education/archive/2013/12/american-schools-vs-the-world-expensive-unequal-bad-at-math/281983/

    https://www.businessinsider.com/us-ranks-27th-for-healthcare-and-education-2018-9

    9. Social Mobility: 2.0

    In America, although the so-called “American Dream” supposedly grants anyone the ability to move up the socioeconomic ladder, it is quite unlikely for it to happen. The reality is that even though one can work hard and be persistent, succeed does not always follow. This has been proven by data that starting in 1980, the percentage of children that have incomes exceeding their parents have decreased by 3%. And it has not gotten any better. As a matter of fact, over the course of several decades, more people have ended up where they started, while less people ended up better off than when they started. As a result, we see a decline in social mobility and an increase of inequality.

    https://www.theatlantic.com/business/archive/2016/07/social-mobility-america/491240/

    https://www.businessinsider.com/social-mobility-is-on-the-decline-and-with-it-american-dream-2017-7

    10. Share of All Jobs in Small Businesses: 5.0

    In 2018, 47.5% of all jobs were provided by small businesses in the United States. This equates to about 58.9 million employees working in small businesses. From that, we can see that approximately half of America’s jobs are from small businesses which is really good. Not only does this benefit the economy as a whole, but it also provides evidence that the openness of new business creations is great. As a result, this would encourage more businesses to be started in the United States.

    https://www.sba.gov/sites/default/files/advocacy/2018-Small-Business-Profiles-US.pdf

    https://www.fundera.com/blog/small-business-employment-and-growth-statistics

    11. Freedom from outside control: 5.0

    America is known to be the land of freedom. With the Declaration of Independence in place, it acts as a formal statement that promises freedom to the U.S. citizens. As opposed to countries like China where freedom essentially is limited, the U.S. grants its citizens freedom in many forms, such as speech, the press, and so on. As a result, we can see here that the citizens are free from control by any other citizen or agency, giving the U.S a high mark on this economic policy.

    https://billofrightsinstitute.org/founding-documents/bill-of-rights/

    12. Protection of Domestic Enterprises: 2.0

    As of 2018, the U.S trade deficit was $891.3 billion with our trade with China making up 47% of the debt. That is nowhere near balanced, and although there have been tariffs placed on foreign goods, the results were not favorable. Recently, President Trump attempted to address our large trade deficit by issuing tariffs on China’s goods, Europe’s autos, and a global tariff on steel. This eventually led to the series of events known as the trade wars, which evidently harmed the U.S. economy. It increased prices of goods and slowed the rate of growth of our economy. As a result, the U.S has done a poor job at keeping trade at a balanced state.

    https://www.thebalance.com/trade-wars-definition-how-it-affects-you-4159973

    https://www.bea.gov/news/blog/2019-03-06/2018-trade-gap-6210-billion

    13. Foreign currency transactions: 5.0

    Currently, the U.S. currency is the leading currency when it comes to trade. Approximately 90% of forex trades are done through U.S. dollars with the Euro, Japanese yen, and the British pound falling severely behind. This encourages foreign trades to be done through U.S. currency. About one third of the world’s GDP comes from countries that peg their currencies to the U.S. currency. As a result, we see that the U.S. dollar is the most powerful currency, having a massive influence in foreign currency transactions.

    https://www.thebalance.com/world-currency-3305931

    14. Border control: 3.0

    Over the course of a decade and a half, the U.S. has severely limited the flow of illegal immigrants. In 2000, approximately 1.8 million illegal immigrants made their way into the U.S. By 2015, the numbers lowered down to about 200,000 illegal immigrants that crossed the border. However, even with this massive decrease in illegal immigrants, many illegal activities like smuggling still occur at an alarming rate. As a matter of fact, 77% of drug traffickers are U.S. citizens, not illegal immigrants. This shows that while the U.S. government does have good control over who passes the borders, they lack control over the goods that pass the border.

    https://cmsny.org/publications/jmhs-is-border-enforcement-effective/

    https://www.cbp.gov/newsroom/stats/sw-border-migration

    https://www.cato.org/blog/77-drug-traffickers-are-us-citizens-not-illegal-immigrants

    15. Currency: 5.0

    As of 2019, the U.S. dollar is the most commonly used currency not only in the U.S, but also worldwide. Making up 65% of all dollars used worldwide, the U.S dollar is considered the most powerful currency, As a result when it comes to trade, about 90% of forex trades involves the U.S. dollar. In addition, by having a huge influence on the world’s economy, seven countries have also adopted the U.S. currency as their own and another 89 countries have close ties with the U.S. dollar for easy access to trade. With that, it is a lot easier to predict the effects of new economic policies.

    https://www.thebalance.com/world-currency-3305931

    16. Cultural, Language, and Homogeneity: 3.0

    America is fairly known for being a diverse country. With minorities on the rise, the U.S. Census Bureau has shown that the growth of the white population has also lagged behind. While non-Hispanic whites still remain as the largest group of Americans, consisting of 60.4% of the U.S. population, the gap is closing between this majority and minority groups. As of right now, for the first time, non-Hispanic whites no longer make up the majority of people ages under 15 years old. Making up 49.9% of the population under 15 years old, this trend will continue as America will become more and more diverse.

    https://www.npr.org/sections/thetwo-way/2017/06/22/533926978/census-finds-a-more-diverse-america-as-whites-lag-growth

    http://worldpopulationreview.com/countries/united-states-population/

    17. Political effectiveness: 4.0

    The U.S. government has been fairly responsive when it comes to natural disasters and terrorist attacks. Not only do they try to help the citizens of America but also victims of natural disasters in foreign countries. For example, when the 2015 Nepal earthquake occurred, the U.S. donated approximately $130 million for relief and recovery. Just last year in 2018, FEMA acted quickly when California’s worst wildfire arose and provided over $180 million in grants and loans for aid and recovery.

    https://www.fema.gov/news-release/2018/12/12/4407/180-million-grants-and-loans-approved-wildfire-survivors

    https://www.usaid.gov/nepal-earthquake

    18. Institutional stability: 3.5

    Since the government and constitution was put into place, the United States has had fairly good institutional stability. Although we do not have complete institutional stability, as shown in the recent events regarding the Trump Administration and Ukraine, our institutional stability is still fairly good. No branch of the government can completely take over the United States and it has been this way since the establishment of it. As a result, it has kept the stability of the government and courts. In addition, the constitution has granted us much freedom and has allowed the citizens to thrive and be successful. Things such as the first amendment allows citizens to state their opinions without repercussions. With that, since we have yet to change these perks of freedom, businesses can have faith for the future and create more jobs.

    https://constitution.findlaw.com/amendments.html

    https://www.house.gov/the-house-explained/branches-of-government

    19. Honest government: 1.0

    Although the United States is the leading country in the world in terms of GDP, there is much corruption that occurs. This has been particularly noticeable with our current president and the events that have happened within this past month. Regarding the issue with Ukraine, although the investigation and impeachment inquiry is still ongoing, the current evidence that we have unveiled all point towards signs of corruption. With the 2020 presidential election in sight, the President Trump and Rudy Giuliani, his personal lawyer, have made illegal actions in asking a foreign country to aid them in the next election. As the truth continues to be unveiled, more and more corruption is brought into plain sight.

    https://www.businessinsider.com/trump-impeachment-is-first-step-to-ending-american-corruption-2019-10

    https://www.cnn.com/politics/live-news/impeachment-inquiry-10-17-2019/h_a3a35b7a364eac45366d4ab3def6673c

    20. Common Laws: 1.0

    America’s justice system has never been perfect. Although changes have been made overtime, there is still much prejudice at hand. Across the United States, African Americans are five times more likely to be sentenced for imprisonment compared to whites. Even though African Americans and Hispanics only make up 32% of the population, they comprised 56% of all the people that were sentenced for imprisonment. In addition, white families have nearly ten times the net worth of African American families, showing that there is a vast gap. This shows the inequality between classes in our justice system and as much as it has developed, the justice system still shows much bias.

    https://www.washingtonpost.com/news/wonk/wp/2017/09/28/black-and-hispanic-families-are-making-more-money-but-they-still-lag-far-behind-whites/

    https://www.naacp.org/criminal-justice-fact-sheet/

    21. Central bank: 5.0

    The Federal Reserve System is the central banking system in the United States. It regulates how much money is in circulation, maintain stable prices, and regulates the banks. There are twelve Federal Reserve districts across the United States, with each district having a federal reserve bank. At the moment, the federal reserve is doing an excellent job at monetary policy, which is the management of money supply and interest rates of central banks, and this is shown by the well-being of our economy. The last recession we have had was in 2008 and since then, the economy has been recovering and expanding. As a result, this growing economy shows that the Federal Reserve is doing great at maintaining stable prices and monetary policy.

    https://www.wsj.com/articles/new-york-feds-williams-from-feds-point-of-view-economy-is-healthy-11554989700

    https://www.federalreserve.gov/aboutthefed/federal-reserve-system.htm

    22. Domestic budget management: 1.0

    In 2019, a new budget was proposed where the federal budget would be $4.746 trillion. However, it is estimated that there is only a revenue of $3.645 trillion, resulting in a $1.101 trillion deficit. With this large deficit at hand, it would only make it harder for businesses to grow as the money is used to cover the debt instead. As a result, this will negatively affect both businesses and the economy, lessening the amount of money invested into businesses.

    https://www.thebalance.com/u-s-federal-budget-breakdown-3305789

    https://www.itsuptous.org/blog/breaking-down-us-federal-budget-fiscal-year-2019

    23. Government debt: 1.0

    Although it may seem like our economy is doing great with this being the second biggest expansion era for our business cycle, the United States level of debt has never been higher. As of 2019, the United States government debt is approximately $22 trillion. That is 2.9% higher than our GDP. $16.1 trillion of that debt is owed to the public, which is about 73% of the debt. With the levels of debt reaching this high, it would be very hard for the U.S. to pay it back as it could cause a negative effect on the economy.

    https://www.npr.org/2019/02/13/694199256/u-s-national-debt-hits-22-trillion-a-new-record-thats-predicted-to-fall

    https://www.thebalance.com/who-owns-the-u-s-national-debt-3306124

    24. Economic statistics: 5.0

    The United States has fairly reliable data being posted by government websites since statistics about the economy in the United States come out fairly often. Ranging from daily reports to yearly reports, the U.S. government provides a lot of data for the general public to look at. For example, every month, the government releases data about the unemployment rate, average hourly earnings, consumer price index, and changes in payroll employment. With this much reliable data being uploaded online, it helps entrepreneurs be more aware of new business opportunities that may await.

    https://www.bls.gov/eag/eag.us.htm

    https://www.bea.gov/

    25. Protection of public health and safety: 2.0

    Although the U.S. has the highest GDP amongst any other country in the world, the state of our public health ranks quite poorly amongst developed countries. On average, there are 5.8 infant deaths per thousand live births in the U.S. Amongst the 35 Organisation for Economic Co-operation and Development (OECD) countries, that places the U.S. 26th out of the 35 countries which is fairly poor. In addition, the U.S. also falls behind when it comes to the tuberculosis mortality rate. In 2018, there were 2.8 cases of tuberculosis per 100,000 people. This is 28 times higher than the tuberculosis target rate, showing that the U.S. is not doing good in protection of public health and safety.

    https://www.americashealthrankings.org/learn/reports/2016-annual-report/comparison-with-other-nations

    https://www.cdc.gov/reproductivehealth/maternalinfanthealth/infantmortality.htm

    https://www.cdc.gov/nchhstp/newsroom/2018/world-tb-day.html

    26. High wage policies: 2.0

    In the U.S., although the minimum wage is technically higher than many other countries, a lot of citizens cannot afford much beyond their basic necessities. In fact, some cannot afford to pay rent. Since the price of rent has shot up in recent years while the minimum wage has not changed as drastically, many people live paycheck by paycheck. As of 2019, the average monthly rent across the country is $1420, resulting in $17,040 per year. The average minimum wage is $7.25, resulting in $15,080 a year. The math checks out that the average American living on minimum wage cannot pay the rent by themselves, let alone provide themselves with basic necessities.

    https://www.cbsnews.com/news/minimum-wage-doesnt-cover-the-rent-anywhere-in-the-u-s/

    https://www.rentcafe.com/blog/category/rental-market/apartment-rent-report/

    27. Environmental protection: 2.5

    The United States has been fairly impacted by changes in the environment. This pertains to the issue of climate change resulting from pollution as a result of businesses. As a result, this has cost businesses millions. But even though that is the case, the United States has attempted to fight against this over the years. Since 1970, the United States Environmental Protection Agency has provided the Clean Air Act, Clean Water Act, and helped patch up the ozone hole in the Earth’s ozone layer. As a result, the smog that resulted from the industrial revolution has been reduced since 1970.

    https://www.esri.com/about/newsroom/publications/wherenext/air-pollution-stifles-business-revenue/

    https://www.investopedia.com/terms/e/environmental-protection-agency.asp

    https://billmoyers.com/story/11-ways-epa-helped-americans/

    28. Strong Army: 4.5

    For decades, the United States has had the strongest army in the world. To no surprise, the United States also invests more money in the army than the next seven countries combined. In 2019, the proposed budget is said to spend $716 billion on national defense. Although such spending has had a negative effect on the economy, it has also provided many benefits. By having the strongest army in the world, business owners can be ensured that they will be safe and secure. They do not have to fear that their business will not last because of foreign attacks.

    https://www.pgpf.org/chart-archive/0053_defense-comparison

    https://comptroller.defense.gov/Portals/45/Documents/defbudget/fy2019/fy2019_Press_Release.pdf

    29. Foreign Trade Impact: 4.0

    When it comes to foreign trade, the United States has gained many benefits as a result of importing foreign goods. Although the U.S. does have a trade deficit, the total 2018 GDP in the U.S was 20.5 trillion. Since the percentage of GDP made of net exports is about 30% for the U.S, it is fairly good as it is close to being completely balanced. Raw material and capital goods account for more than 60% of all U.S. imported goods. As a result, it is cheaper for businesses in the United States to create their products. In addition to that, foreign trade supports 39.8 million U.S. jobs, which is about 20% of all U.S. jobs.

    https://www.uschamber.com/international/international-policy/benefits-international-trade

    https://www.bea.gov/news/2019/us-international-trade-goods-and-services-june-2019

    https://tradepartnership.com/wp-content/uploads/2015/01/US_State_Study.pdf

    30. Management of foreign currency budget: 2.0

    Although the United States has the largest economy in the world, it also has a fairly large trade deficit. This essentially means that the United States is importing more goods than exporting. In 2018, $419 billion of deficits came from trading with China, which was 47% of our total trade deficit. Essentially, this affects the United States in a negative way because businesses and factories in the U.S. are at a loss. More consumers are willing to buy imported goods because they are cheaper than the goods produced in the U.S. As a result, businesses in the U.S. would have a harder time selling their products to consumers.

    https://www.census.gov/foreign-trade/Press-Release/current_press_release/exh1.pdf

    https://www.thebalance.com/u-s-trade-deficit-causes-effects-trade-partners-3306276

    31. Layers of collective action: 4.5

    When it comes to the United States, the high rating is well-deserved. With the idea of democracy in place, people are able to vote for the representatives that share the same perspectives. As a result, the United States grants more power to the citizens compared to most countries in the world. Since the representatives usually represent a majority of the population’s opinion, this can cause less tension compared to an autocratic system where there are more restrictions and tension due to disagreements.

    https://en.wikipedia.org/wiki/Democracy_and_economic_growth

    https://promarket.org/democracy-economic-growth-new-evidence/

    32. Pro-business climate: 5.0

    In the United States, we essentially have the idea of capitalism and the free market which is where innovation thrives. While the government does have some intervention in the economy, it is still one of the best countries to start a company in. In the United States, 99.7% of all businesses are small businesses that show the value that entrepreneurs contribute to our economy. It allows businesses to discover goods that are in demand and the competition in the market helps thrive businesses to further innovate. This essentially promotes businesses, showing the value that they have in our society.

    https://ceoworld.biz/2019/08/14/best-countries-for-entrepreneurship-for-2019/

    https://vittana.org/11-pros-and-cons-of-a-market-economy

    33. Government enterprises: 3.5

    In many cases, government enterprises are beneficial to both businesses and the general public. Through subsidies, the government provides aid to businesses that they deem worthy. This tends to shift businesses into providing better goods for the general public. With the government providing help to businesses like farmers by subsidizing their goods, it helps expand their growth and the economy itself. In addition, with things like tariffs in place, this allows domestic businesses to have more value in the country.

    http://www.let.rug.nl/usa/outlines/economy-1991/how-the-united-states-economy-works/governments-role-in-the-economy.php

    34. International security agreements: 4.0

    In terms of international security agreements, the United States has allied with other friendly nations. Within the past fifty years, many With the largest military in the world, this has allowed the U.S. to safely trade with allied countries through treaties like NATO. As the leading global trader, these international security agreements have helped the United States generate an additional $1.5 trillion in American income. This helps encourage people to start businesses and enter the market because of the potential gains being made with trade.

    https://www.rand.org/pubs/research_briefs/RB9912.html

    https://ustr.gov/issue-areas/economy-trade#

    35. Protection of domestic enterprises from government mandated costs: 2.0

    Government regulations are often used to ensure the safety of both the employees and the products. Although having mandated costs for things such as safety regulations ensure the safety of the workers and their products, these regulations ultimately put the businesses at a disadvantage. Especially in the United States where there are many laws regulating businesses, these regulations become barriers to entering the market. Each year, it costs the American economy “$1.9 trillion a year in direct costs, lost productivity, and higher prices” and the costs for smaller businesses with less than 50 employees “are nearly 20% higher than the average for all firms.” Since all businesses usually start off fairly small, these regulations discourage many to even enter the market.

    https://www.capitalism.com/six-arguments-government-regulations/

    https://www.uschamberfoundation.org/smallbizregs/

    +++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

    CIANA KNIGHT


    This study presents a detailed study of the economic policies of the United States, as written by Specialist Ciana Knight. The ratings herein are based on the following rating scale:

    RATING SCALE

    5.0 Perfect Facilitation of Wealth Creation
    4.0 Midway between Perfect and Neutral
    3.0 Neutral Effect on Wealth Creation
    2.0 Midway between Neutral and Obstructionist
    1.0 Perfectly Obstructionist to Wealth Creation
    [Rating scale copyright Mike P. McKeever, 2019. Used herein with permission]

    RATING SUMMARY - CIANA KNIGHT 
    
    POLICY NUMBER      RAW SCORE   ADJUSTED SCORE     POSSIBLE  PERCENTAGE
    
            1               4.0          12.0             15.0        80 %
    
            2               5.0          15.0             15.0       100
    
            3               2.0           6.0             15.0        40
    
            4               5.0          15.0             15.0       100
    
            5               3.0           9.0             15.0        60
    
            6               5.0          15.0             15.0       100
    
            7               4.0          12.0             15.0        80
    
            8               4.0          12.0             15.0        80
    
            9               3.0           9.0             15.0        60  
    
            10              5.0          15.0             15.0       100
    
            11              5.0          15.0             15.0       100
    
            12              4.0           8.0             10.0        80
    
            13              3.0           6.0             10.0        60
    
            14              3.0           6.0             10.0        60
    
            15              5.0          10.0             10.0       100
    
            16              2.0           4.0             10.0        40 
    
            17              3.0           6.0             10.0        60
    
            18              5.0          10.0             10.0       100
    
            19              3.0           6.0             10.0        60
    
            20              2.0           4.0             10.0        40
    
            21              4.0           8.0             10.0        80
    
            22              3.0           6.0             10.0        60
    
            23              2.0           4.0             10.0        40      
    
            24              3.0           6.0             10.0        60
    
            25              4.0           8.0             10.0        80
    
            26              3.0           6.0             10.0        60
    
            27              3.0           6.0             10.0        60
    
            28              4.0           8.0             10.0        80
    
            29              5.0           5.0              5.0       100  
    
            30              2.0           2.0              5.0        40
    
            31              5.0           5.0              5.0       100
    
            32              5.0           5.0              5.0       100
    
            33              3.0           3.0              5.0        60 
    
            34              3.0           3.0              5.0        60
    
            35              4.0           4.0              5.0        80
    
       TOTAL              128.0          274.0           370.0        74.0%
                          =====          ======          =====        =====
    
    

    INDIVIDUAL POLICIES - CIANA KNIGHT

    1. Freedom from internal control (4.0)

    I gave the USA a score of 4.0 for Freedom from Internal Control because citizens have maximum autonomy to move about the country and engage in wealth creating activities. Although there are cultural reasons that people may choose to stay in one area and practice their trade, everyone is given equal opportunity to go wherever they please. However, because of the size of the United States, being able to practice the same trade State to State is not very easy and oftentimes, additional hoops must be jumped through in order to do so. Take for example, law. If you want to practice law in one state you must take a test in that respective state to get your license there. There are no laws or regulations that prevent you from moving to another state and practicing law there, but the extra requirement is an inhibiting factor.

    Citations:

    https://www.sba.gov/business-guide/launch-your-business/apply-licenses-permits#section-header-2

    https://www.lawpracticetoday.org/article/moving-practice-jurisdictions/

    2. Freedom of speech (5.0)

    I gave the USA a score of 5.0 for Freedom of Speech because citizens can freely express themselves without censorship of restriction which perfectly facilitates wealth creation. In fact, the USA has dealt with cases in the Supreme Court where some people believe that they have been too protective of this First Amendment right such as the Westboro Baptist Church’s picketing of gay veteran’s funerals. Many countries come and trade in the USA because the freedom of speech allows for marketing of goods to go much further than it would in other countries. However certain goods that have been deemed dangerous and specifically targeting certain populations may be given certain counter speech requirements. For example e-cigarettes now require large labels that say “warning this product contains nicotine, nicotine is addictive” and there are many ads that show the dangerous effects of youth getting hooked on the nicotine in the ecigarettes. The USA not only protects speech the encourages consumers to buy goods, but al so speech that gives an honest representation of what consumers are purchasing.

    Citations:

    https://www.cnbc.com/2019/09/24/cdc-warns-of-dangers-of-nicotine-salts-used-by-vaping-giant-juul-in-e-cigarettes.html

    https://www.higheredtoday.org/2018/10/17/paradox-free-speech-america-today/

    3. Effective, fair police force (2.0)

    I gave the USA a score of 2.0 for effective, fair police force because the police force practices result in midway between neutral and obstructionist results for wealth creation. When you look at the statistics for the total number of people killed by the police the racial breakdown is disproportionate. Even though African Americans represent 13% of the populations, 31% of people killed by the police are African American. Additionally unarmed victims of police killings are more likely to be African American. As a result minority citizens are more likely to feel unsafe and less protected to start their own enterprises in the community. This continues to be an ongoing problem in the USA and although it has been brought to light more, the current state continues and will continue to affect the citizens and the economy.

    Citations:

    https://www.vox.com/identities/2016/8/13/17938186/police-shootings-killings-racism-racial-disparities

    https://knowledge.wharton.upenn.edu/article/the-entrepreneur-gap-facing-women-and-minorities/

    4. Private property (5.0)

    I gave the USA a score of 5.0 on private property because the property laws, contracts and implementation of laws and contracts supports the right of a citizen to own their property and have it protected. Not only is physical property protected, but intellectual property as well. Nowadays, ideas are not free and it is much harder for businesses to steal ideas and technology from other business and get away with it. Patenting new ideas is also a way in which the playing field for entrepreneurs can be leveled so that large corporations can’t immediately replicate the work that has been created by a new company and push them out of an industry while they are still developing and growing. Currently the USA is 12th in the world for patents, related rights and limitations.

    Citations:

    https://www.ipwatchdog.com/2018/02/08/u-s-patent-system-falls-12th-place-chamber-global-ip-index-2018/id=93494/

    https://www.investopedia.com/terms/p/property_rights.asp

    5. Commercial banks (3.0)

    I gave the USA a score of 3.0 for commercial banks because commercial banks reliability and soundness has neutral effect on wealth creation. One thing that makes banks more reliable is having backing by the FDIC for any deposits up to 250,000. However, commercial banks in the USA only are required to reserve three percent of all money deposited which is a relatively low amount. As a result, if banks make bad investments they do not have much money reserved if a patron attempts to withdraw. These two factors together create a neutral effect on wealth creation because one protects deposits and one risks losing deposits.

    Citations:

    https://www.fdic.gov/deposit/deposits/faq.html

    https://www.thebalance.com/reserve-requirement-3305883

    6. Communication systems (5.0)

    I gave the USA a score of 5.0 for communication systems because the efficiency and availability of communication systems facilitates perfect wealth creation. The USA is a highly technologized and connected country. It is more uncommon for someone to not have a cellphone than have one. Additionally, on a cellphone people have access to radio, magazines, newspapers, podcasts, articles, and more forms of communication and media. All of these forms of communication can transport new business ideas and opportunities throughout the country.

    Citations:

    https://www.vox.com/2019/2/20/18232433/digital-advertising-facebook-google-growth-tv-print-emarketer-2019

    https://www.statista.com/topics/979/advertising-in-the-us/

    7. Transportation (4.0)

    I gave the USA a score of 4.0 for transportation because the transportation infrastructure for commercial activity creates in between neutral and perfect wealth creation. The movement of commercial goods is super efficient. Everyday the USA rail system carries almost five million tons of goods. Maritime, trucking and air also transport tons of goods every day. An area that the USA can improve is relying on less roadway transit because the congestion decreases the efficiency of shipping goods. The transport of people, also an important part of the economy is less efficient.

    Citations:

    https://www.selectusa.gov/logistics-and-transportation-industry-united-states

    https://www.transportation.gov/testimony/keeping-america-moving-national-strategies-efficient-freight-movement

    8. Education (4.0)

    I gave the USA a score of 4.0 for education because the quality of education creates midway between neutral and perfect wealth creation. Although the USA has many well renowned Universities, not all the schools provide a good education overall. Around seventy percent of students go to college after high school which is a high percentage, but not perfect. Additionally, the USA competes with other countries, such as China, in providing top tier education in key fields that provide many jobs, such as STEM fields. However, the USA still provides free public education up to high school, to all, which is not true for many countries.

    Citations:

    https://www.bls.gov/opub/ted/2017/69-point-7-percent-of-2016-high-school-graduates-enrolled-in-college-in-october-2016.htm

    https://s3.amazonaws.com/brt.org/BRT-immigrationreport-2.pdf

    9. Social Mobility (3.0)

    I gave the USA a score of 3.0 for social mobility because the average person’s ability to change their own social status is more involved than just their ability to earn which creates a neutral effect on wealth creation. In theory, American citizens should all have equal opportunity to create wealth because under law everyone is equal and should be treated equally. This, however, is not always shown in practice. People can be appointed to positions in jobs based on who they know and not on merit. Somewhere between 75-80% of jobs are filled through networking and not the traditional application process.

    Citations:

    https://www.payscale.com/career-news/2017/04/many-jobs-found-networking

    https://www.businessinsider.com/social-mobility-is-on-the-decline-and-with-it-american-dream-2017-7

    10. Share of All Jobs in Small Businesses (5.0)

    I gave the USA a score of 5.0 for share of all jobs in small businesses because a high percentage of jobs created by small businesses creates the potential for perfect wealth creation. According the the U.S Census Bureau, small businesses provided 63% of jobs in the USA. However, the USA being more big business focused, in terms of tax cuts, makes it harder for small businesses to survive and prosper in the long term. So even though small businesses do provide jobs and new business creation is possible and fairly easy, the long term survival of small businesses is rarer which can create a more unstable economy.

    CItations:

    https://www.inc.com/todd-mccracken/why-we-need-to-give-more-aid-not-less-to-small-businesses.html

    https://www.lendingtree.com/business/small/failure-rate/

    11. Freedom from outside control (5.0)

    I gave the USA a score of 5.0 for freedom from outside control because the ability for the USA to solely govern its citizens creates a perfect facilitation of wealth. Citizens do not answer to any other government other than the USA’s government while doing business here. This allows for business to be conducted within one controlled environment. Unlike other countries, the USA does answer to a larger country although it is still a member of NATO and the UN. However, the US largely controls those entities anyway so they are still very autonomous in controlling its citizens.

    Citations:

    https://en.wikipedia.org/wiki/United_States_and_the_United_Nations

    https://en.wikipedia.org/wiki/Member_states_of_NATO

    12. Protection of Domestic Enterprises (4.0)

    I gave the USA a score of 4.0 for protection of domestic enterprises because its support for its domestic enterprises falls in between neutral and perfect. The USA issues tariffs to protect certain goods such as agricultural goods, leather, and car parts. They usually range around 20% in order to protect those industries in the USA. The reason that it is not rated as perfect is because the USA does not protect agricultural goods in order to boost that industry as a main industry. The agricultural industry already receives many subsidies from the government already. Secondly, the protective tariffs can cause a trade war, as seen between the USA in China, where raising a tariff on one good in the USA cause a counter raising of a major imported goods from China.

    Citations:

    https://www.businessinsider.com/americas-biggest-tariffs-2010-9#brooms-32-tariff-12

    https://www.reuters.com/article/us-usa-trade-tariffs-factbox/factbox-next-rounds-of-trumps-tariffs-on-chinese-goods-to-hit-consumers-idUSKCN1VL0EX

    13. Foreign currency transactions (3.0)

    I gave the USA a score of 3.0 for foreign currency transactions because the foreign transactions have a neutral effect on wealth. The USD is one of the stronger currencies in the world however currently it is weaker than the British Pound and the Euro. Therefore if the USA was to do business with another country that uses either of those as its primary currency then they would most likely convert to that currency before doing business. Because the USA does business with many different countries, any other country that has a lower valued currency would convert to the USD to do business. This creates a neutral effect on wealth because it evens out.

    Citations:

    https://www.investopedia.com/articles/forex/051415/pros-cons-strong-dollar.asp

    https://fxssi.com/top-10-of-the-strongest-world-currencies-in-current-year

    14. Border control (3.0)

    I gave the USA a score of 3.0 for border control because the border control has a neutral effect on wealth creation. The USA has a strict border control and are very vigilant about who and what they are letting into the country. However, just by the sheer amount of traffic on the border, they are not perfect in regulating the border. Relative to other countries the effect on wealth is neutral because it is harder for black market goods to enter the USA in comparison to other places. However, there is a greater demand for black market items, such as drugs, in the USA because of the amount of wealth that is in the country. The War on Drugs that took place in 2017 was due to the importing and usage of illegal drugs in the USA.

    Citations:

    https://cmsny.org/publications/jmhs-is-border-enforcement-effective/

    https://en.wikipedia.org/wiki/War_on_drugs

    15. Currency (5.0)

    I gave the USA a score of 5.0 for currency because it has a single currency which cultivates the perfect facilitation of wealth creation. Although there is the possibility that fake currencies are created, the regulation for making sure that currency is legitimate is very strict. The USD can be counterfeited, but the use and trade of a counterfeited currency in the USA does not last long, such as when the secret service uncovered $30 million worth of fake USD in 2016. When there is only one currency used wealth can be maximized because all the products and services are being rightly valued and traded. When exchanging between more than one currency, such as in the European Union, wealth is lost between transactions because of the fluctuating values of the currencies.

    Citations:

    https://www.washingtonpost.com/news/post-nation/wp/2016/11/22/they-make-fake-money-worth-more-than-cocaine-the-u-s-just-recovered-30-million-of-it/

    https://www.investopedia.com/articles/forex/080613/effects-currency-fluctuations-economy.asp

    16. Cultural, language homogeneity (2.0)

    I gave the USA a score of 2.0 for cultural and language homogeneity. The USA is a very diverse country, but not very welcoming to outside groups. Minority groups are fairly large in the USA, but a lot of the times not well assimilated into society. Especially in the current political climate, there are many people in the USA who have felt resistant to the influx of immigrants who are coming in to the United States. Although these people are able to be a part of and support the workforce and economy, it causes conflict within the country that is not beneficial to the economy.

    Citation:

    https://sociology.dartmouth.edu/sites/sociology.dartmouth.edu/files/nation_state_size_ethnic.pdf

    https://fivethirtyeight.com/features/trump-hasnt-needed-the-wall-to-remake-u-s-immigration-policy/

    17. Political effectiveness (3.0)

    I gave the USA a score of 3.0 for political effectiveness. One of the things that takes away from the government’s autonomy are the checks and balances. These create a neutral to stagnant effect on wealth creation. When it is harder for a government to pass legislation through, it makes it more difficult to solve problems. Additionally, the USA’s government is decentralized by having local governments in all its states. Being a large country it is hard to address all citizens’ needs uniformly because different citizens have different needs. The urban areas often times have an overpowering voice and it conflicts with that of the rural area. For example, urban areas tend to have more liberal leanings than rural areas.

    Citations:

    https://www.investopedia.com/terms/c/checks-and-balances.asp

    https://www.pewsocialtrends.org/2018/05/22/demographic-and-economic-trends-in-urban-suburban-and-rural-communities/

    18. Institutional stability (5.0)

    I gave the USA a score of 5.0 for Institutional stability because the USA has been an established nation for centuries with stable government institutions. Although there have been shifts and changes in the institutions, they have happened gradually over time and through mostly peaceful means. For example there has been reform in desegregating schools and eliminating police brutality, and although there was some violence involved in that process, a lot of changes went through traditional systems such as the court or legislative means. The stability of these changes, as well as them going through traditional routes such as legislation prevented the upheavals from disrupting normal economic activity with maximizes wealth creation.

    Citations:

    https://www.britannica.com/topic/political-system/Stable-political-systems

    https://www.theglobaleconomy.com/rankings/wb_political_stability/

    19. Honest government (3.0)

    I gave the USA a score of 3.0 for honest government because we have dishonest politicians, but our we are able to make them accountable through the media so they cannot get away with anything. Transparency in government is key to wealth creation because a country can acknowledge and solve problems that may get in the way of creating more wealth as they arise for the benefit of the entire country. Other countries may have dishonesty and corruption, but their people are unable to speak out against which allows it to perpetuate more. The Transparency and Government Accountability Act of 2010 mandated that the government must disclose certain information in a timely manner to citizens and journalists in the USA. However, because the USA is a decentralized government there is a higher risk of businesses being able to get away with more corruption because enforcing regulations is harder and not uniform across the country.

    CItations:

    https://www.alec.org/model-policy/transparency-and-government-accountability-act/

    https://www.ganintegrity.com/portal/country-profiles/usa/

    20. Common laws (2.0)

    I gave the USA a score of 2.0 for common laws because the legal justice system is not equal in all parts of the country. The decentralization obstructs the USA’s potential for creating more wealth. First off, the legal justice system is decentralized. Each county and state has its own regulations that govern how it handles issues of legal nature. It is a difficult system to navigate without the representation of an attorney and familiarity with the local rules and deadlines. Additionally all parts of the population do not receive equal treatment under the law simply because it depends on the quality of their legal counsel. This disproportionately affects lower income citizens.

    Citations:

    https://ejusa.org/learn/fairness/

    https://www.uscourts.gov/about-federal-courts/types-cases/civil-cases

    21. Central bank (4.0)

    I gave the USA a score of 4.0 for central bank because they have the federal reserve which is a private entity apart from the government with free agency. Having a strong and independent central banking system makes the USA fall in between neutral and perfect wealth creation. The action from the federal reserve is controlled by a board of directors. Although the board has to testify to its actions in front of Congress and have regular communication with the government, they are mostly an independently functioning entity. The Federal Reserve, however, does not entirely function like a normal corporation. The stock cannot be sold as collateral loans and they were created by the government.

    Citations:

    https://www.federalreserveeducation.org/about-the-fed/structure-and-functions

    https://www.stlouisfed.org/in-plain-english/who-owns-the-federal-reserve-banks

    22. Domestic budget management (3.0)

    I gave the USA a score of 3.0 for domestic budget management.Their budget management has a neutral effect on wealth creation. They have a low level of inflation with inflation for 2019 staying under 2% so far. This allows there to be job creation while still creating wealth. However, the USA has a budget deficit every year with this year’s being around 1 trillion. This does not appear to be something that the government plans on decreasing in the upcoming years. Especially when that debt is owed outside the USA, it decreases the overall wealth in the country.

    Citations:

    https://tradingeconomics.com/united-states/inflation-cpi

    https://www.thebalance.com/u-s-federal-budget-breakdown-3305789

    23. Government debt (2.0)

    I gave the USA a score of 2.0 for government debt because their debt to GDP ratio is 109.45% which makes wealth creation midway between neutral and obstructionist. Much of the USA’s debt is owed to outside lenders, with billions of dollars being held by other countries in treasuries. This does not benefit the USA’s economy because the money is leaving the USA which brings down the overall GDP. The USA increases its government held debt when it cuts taxes and increases social services. Because the USA is a mixed economy, the government owns industries that often lead to a deficit in the budget because those industries are meant to provide services to citizens, not create profit.

    Citations:

    https://www.investopedia.com/terms/d/debtgdpratio.asp

    https://www.thebalance.com/the-u-s-debt-and-how-it-got-so-big-3305778

    24. Economic statistics (3.0)

    I gave the USA a score of 4.0 for economic statistics because the stats that are published by the government are widely held to be true by the public. However, because politicians will point to statistics to prove that they are doing well in office there is potential that numbers could be adjusted to fit certain agendas. There was some discrepancy around the reelection of president Obama because the unemployment rate was high during his presidency, but appeared to be going down leading up to the 2012 election. Some people argued that Obama had manipulated the statistics to help with his reelection. Overall, however, politicians are held accountable by the media and the people, therefore the stat publications can publically be called into question because of the freedom of speech. This increases the potential for wealth creation midway between neutral and perfect.

    Citations:

    https://www.investopedia.com/financial-edge/0411/5-government-statistics-you-cant-trust.aspx

    https://www.investmentnews.com/article/20150531/REG/305319999/how-accurate-are-economic-reports

    25. Protection of public health and safety (4.0)

    I gave the USA a score of 4.0 for Protection of public health and safety because it does not meet the highest public health standards for infant mortality and tuberculosis, but it is still relatively high. The infant mortality rate for the USA is 5.8 per 1,000 live births. The average for comparable countries (based on population and GDP) is 3.4. Additionally the number of tuberculosis cases is decreasing year after year. Between 2016 and 2017 there was a 2.3% decrease with the rate of 2.8 cases per 100,000 people being reported. This makes wealth creation midway between neutral and perfect because people live in a healthy and safe environment with minimal distractions such as public health issues to keep them from maximizing creating wealth.

    Citations:

    https://www.cdc.gov/tb/statistics/default.htm

    https://www.cdc.gov/reproductivehealth/maternalinfanthealth/infantmortality.htm

    26. High wage policies (3.0)

    I gave the USA a score of 3.0 for high wages in their market because it ranks fourth for highest average wage in the world and has a neutral effect on wealth creation. Although this is a high score, the distribution of wealth in the USA is very uneven and the middle class is not earning high enough wages. On the inequality Human Development Index, the USA ranked 27th, next to Poland. This shows that the average person is less likely to be able to afford consumer goods. According to a survey done in 2015, 71% of all workers in the USA make less than $50,000 a year. It was estimated that it would take $50,000 for a family of four to support a middle class lifestyle. When the middle class cannot spend as much in the economy there is not the full potential of wealth created.

    Citations:

    https://en.wikipedia.org/wiki/List_of_countries_by_average_wage

    https://en.wikipedia.org/wiki/Standard_of_living_in_the_United_States

    27. Environmental protection (3.0)

    I gave the USA a score of 3.0 for environmental protection because their protection of the environment has a neutral effect on wealth creation. There are a lot of areas that the USA does well with in terms of environmental protection, such as water sanitation and air quality, but it does poorly with deforestation and GHG emissions. It is ranked behind many other industrialized countries such as the UK and Germany. Additionally, in the area where the USA is already not preserving its resource of trees and wood, much of resource is not being contributed to the normal economy because there is a lot of illegal deforestation.

    Citations:

    https://epi.envirocenter.yale.edu/2018/report/category/hlt

    https://www.wri.org/blog/2018/03/us-out-tpp-so-are-measures-curb-illegal-logging

    28. Strong army (4.0)

    I gave the USA a score of 4.0 for having a strong army because their ability to protect their country is midway between neutral and perfect in terms of wealth creation. The USA spends 3.5% of its GDP on military expenses which is more than any other NATO country. This allows the USA to have sufficient armed forces to protect itself. Because it is also a large country, it should rely on its own army rather than treaties. However, the USA spends 54% of its budget on military, which is half its budget, much more than its domestic budget should allot.

    Citations:

    https://www.cnn.com/2018/07/11/politics/trump-defense-spending/index.html

    https://www.nationalpriorities.org/campaigns/military-spending-united-states/

    29. Foreign trade impact (5.0)

    I gave the USA a score of 5.0 for foreign trade impact because their total imports and exports only accounts for 26.6% of their GDP which maximizes wealth creation. This puts the USA at a good position to increase its wealth through foreign trade, but does not make it dependable on foriegn trade completely. Most of the USA’s economic growth is coming from domestic enterprises. However, the USA is still in a trade war that is making exporting certain goods harder. If it continues to put blockages in the way of trade then that 26.6% will decrease and the USA may lose potential profit from trading.

    Citations:

    https://en.wikipedia.org/wiki/List_of_countries_by_trade-to-GDP_ratio

    https://www.scmp.com/news/china/diplomacy/article/3019071/trade-war-harming-american-economy-more-chinas-claims-official

    30. Management of foreign currency budget (2.0)

    I gave the USA a score of 2.0 for management of foreign currency budget because it is currently in a trade deficit of $621 billion dollars which is midway between neutral and obstructionist for wealth creation. The potential causes of this are due to the USA spending more than it is saving, the money that Americans are borrowing abroad, and the value of the dollar rising making exported goods more expensive. It has a negative effect because the USA is in debt to foreign countries, which makes them more vulnerable in economic as well as political settings. If the USA owes money internationally it is obstructing its ability to maximize wealth because money is leaving the country instead of staying in the country.

    Citations:

    https://www.cfr.org/backgrounder/us-trade-deficit-how-much-does-it-matter

    https://www.census.gov/foreign-trade/balance/index.html

    31. Layers of collective action (5.0)

    I gave the USA a score of 5.0 for layers of collective action because of its very strong focus on being a socially active society which cultivates perfect wealth creation. The United States has a pro-involvement culture that encourages citizens to be apart of their communities outside of their workplaces. According to the World Values Survey of 2000 the United States was the top democracy for belonging to interests groups at 39.1% belonging to four or more groups. In a study done by the University of Nevada, they found that teenagers volunteer an average of 2.4 billion hours annually, contributing around $34.3 billion to the U.S. economy. Finally the second highest, at 25.2%, organization that people choose to spend their time and take leadership positions are educational or services for youth.

    Citations:

    http://www.napavalley.edu/people/sclark/Documents/Ch7.pdf

    https://www.unce.unr.edu/publications/files/cd/2003/fs0323.pdf

    https://www.bls.gov/news.release/pdf/volun.pdf

    32. Pro business climate (5.0)

    I gave the USA a score of 5.0 for perfect wealth creation for pro business climate because it has a dominating capitalist economy and culture surrounding that economy. Although businesses face a considerable tax and it is difficult to start a business in the USA, the culture surrounding business encourages it. Additionally in 2017, Trump passed the Tax Cuts and Job Act that that reduced corporate tax from 35% to 21%. People involved in for-profit also receive social benefits. Because the USA has a meritocratic class system, career accomplishments and success are regarded highly, especially when one creates his or her own business.

    Citations:

    https://courses.lumenlearning.com/boundless-sociology/chapter/the-class-structure-in-the-u-s/

    https://www.cia.gov/library/publications/the-world-factbook/geos/us.html

    33. Government enterprises (3.0)

    I gave the USA a score of 3.0 for government enterprises because their ongoing subsidy of the agricultural industry has a neutral effect on wealth creation. Some examples of self supporting/ investment based subsidized enterprises are transportation and energy. The government’s ownership of many transportation systems are mostly self sustaining because they can make a profit off transportation. Subsidizing energy is an investment because alternative energy sources are potential intellectual property for the future that can be sold and benefit the USA’s economy. However, the US continues to subsidize the agricultural sector of the economy which shows no sign of being self supporting in the future. Although only one industry in the economy, the US spends around $20 billion a year on farm subsidies.

    Citations: https://www.investopedia.com/articles/basics/11/introduction-to-government-subsidies.asp

    https://www.downsizinggovernment.org/agriculture/subsidies

    34. International security agreements (3.0)

    I gave the USA a score of 3.0 for international security agreements because it has a neutral effect on the USA’s wealth creation. The USA’s treaties benefit other countries more than they benefit itself. Many of the most important treaties that the USA currently has in place with other countries are peace treaties or armistice treaties with countries from the former Soviet Union. Although these treaties maintain peace, they are not alliances for countering attacks. The US, however, still is apart of its treaty with NATO that will intervene in crises if diplomatic methods do not prevail. Most of the military power behind the treaty falls to the USA, which makes its benefit from the treaties less than the countries that are in the treaty with the USA.

    Citations:

    https://www.nato.int/cps/en/natohq/topics_52060.htm

    https://www.state.gov/key-topics-bureau-of-arms-control-verification-and-compliance/

    35. Protection of domestic enterprises from government mandated costs (4.0)

    I gave the USA a score of 4.0 for being midway between perfect and neutral of protection of domestic enterprises from government mandated costs. Although it does have tariffs that protect certain industries, raising them is resulting in a trade war that raises the prices of other goods. Because the United States has stricter environmental and worker safety regulations and laws than many other countries that export consumer goods to the United States, international competition is more prevalent in the US market. However, the US has raised tariffs on important industries that it wishes to protect such as steel and aluminum. The effectiveness of these tariffs still remain in question because they result in retaliatory tariffs from the affected countries. The ensuing trade war begins to raise the prices of other goods in the US that are exported by these countries.

    Citations:

    https://www.cfr.org/backgrounder/truth-about-tariffs

    https://news.law.fordham.edu/jcfl/2019/03/17/a-brief-history-of-tariffs-in-the-united-states-and-the-dangers-of-their-use-today/

    ***************************************************************************************************

    ALEXANDER KUNG


    This study presents a detailed study of the economic policies of the United States, as written by Specialist Alexander Kung.The ratings herein are based on the following rating scale:

    RATING SCALE

    5.0 Perfect Facilitation of Wealth Creation
    4.0 Midway between Perfect and Neutral
    3.0 Neutral Effect on Wealth Creation
    2.0 Midway between Neutral and Obstructionist
    1.0 Perfectly Obstructionist to Wealth Creation
    [Rating scale copyright Mike P. McKeever, 2019. Used herein with permission]

    RATING SUMMARY - ALEXANDER KUNG 
    
    POLICY NUMBER      RAW SCORE   ADJUSTED SCORE     POSSIBLE  PERCENTAGE
    
            1               5.0          15.0             15.0       100 %
    
            2               1.0           3.0             15.0        20
    
            3               1.0           3.0             15.0        20
    
            4               5.0          15.0             15.0       100
    
            5               5.0          15.0             15.0       100
    
            6               4.0          12.0             15.0        80
    
            7               4.5          13.5             15.0        90
    
            8               4.0          12.0             15.0        80
    
            9               2.0           6.0             15.0        40  
    
            10              4.5          13.5             15.0        90
    
            11              5.0          15.0             15.0       100
    
            12              1.5           3.0             10.0        30
    
            13              5.0          10.0             10.0       100
    
            14              4.5           9.0             10.0        90
    
            15              5.0          10.0             10.0       100
    
            16              3.0           6.0             10.0        60 
    
            17              2.0           4.0             10.0        40
    
            18              5.0          10.0             10.0       100
    
            19              1.0           2.0             10.0        20
    
            20              1.0           2.0             10.0        20
    
            21              5.0          10.0             10.0       100
    
            22              1.0           2.0             10.0        20
    
            23              1.0           2.0             10.0        20      
    
            24              4.0           8.0             10.0        80
    
            25              3.0           6.0             10.0        60
    
            26              0.0           0.0             10.0        00
    
            27              2.5           5.0             10.0        50
    
            28              5.0          10.0             10.0       100
    
            29              4.5           4.5              5.0        90  
    
            30              2.0           2.0              5.0        40
    
            31              5.0           5.0              5.0       100
    
            32              5.0           5.0              5.0       100
    
            33              2.5           2.5              5.0        50 
    
            34              5.0           5.0              5.0       100
    
            35              2.0           2.0              5.0        40
    
       TOTAL              116.5          248.0           370.0        67.0%
                          =====          ======          =====        =====
    
    

    INDIVIDUAL POLICIES - ALEXANDER KUNG

    1) Freedom from Internal Control (5.0)

    The U.S. government allows individuals to move freely within U.S. borders allowing for new job creation as well as easy mobility. The U.S. also allows citizens to enter the country and does not deny citizens from entering their own country. This freedom of movement allows for more job creation.

    https://en.wikipedia.org/wiki/Freedom_of_movement

    https://en.wikipedia.org/wiki/Internal_control

    2) Freedom of Speech (5.0)

    The First Amendment guarantees the right to freedom of speech for all Americans which allows for the free flow of ideas and development. This creates an environment for maximum possibilities and job creation.

    https://en.wikipedia.org/wiki/Freedom_of_speech_in_the_United_States

    3) Effective, Fair Police Force (1.0)

    The U.S. receives an extremely low score due to extremely common shows of racism and police brutality towards people of color and minorities. People of color are about 5.8 times more likely to be incarcerated than white people and there are far more cases of police brutality and racial profiling towards people of color. This leads to people of color and minorities feeling less safe in the U.S. and shows the unfair treatment the justice system provides for minorities.

    https://www.prisonpolicy.org/graphs/raceinc.html

    https://www.alec.org/model-policy/the-private-property-protection-act/

    https://www.naacp.org/criminal-justice-fact-sheet/

    4) Private Property (5.0)

    Under the U.S. Constitution and law, private property for individuals are protected and can not be seized by the government without legal, fair, and justified action. This protects individuals from exploitation and in the event the government does take possession of private property, the owner is compensated accordingly.

    https://www.alec.org/model-policy/the-private-property-protection-act/

    https://www.pbs.org/tpt/constitution-usa-peter-sagal/rights/privacy-and-property-rights/

    5) Commercial Banks (5.0)

    In 2017, the U.S. had 4,909 FDIC insured commercial banks which provided loans and capital for business expansion. The Federal Reserve Bank helps to ensure commercial banks and keep the banking system sound and secure by requiring banks to hold 20% of savings at all times as well as providing banks with cash to bail out banks allowing for safe investments as well as capital gains and revenue.

    https://www.federalreserve.gov/

    https://en.wikipedia.org/wiki/Banking_in_the_United_States

    6) Communication Systems (4.0)

    The U.S. receives a high score due to the widely available and extensive communications systems in place in the U.S.. The FCC also closely regulates the communication businesses in the U.S. to ensure equal and fair pricing. There are also extensive media networks like broadcasting systems as well as social media networks which help promote communication across the U.S.. Regulations on these networks vary and can also promote the spread of false information which can have negative impacts on the economy.

    https://usahello.org/resources/communication/

    https://www.fcc.gov/

    7) Transportation (4.5)

    The U.S. has a multitude of ways that connect the country from railroads and roads for land based transportation to ships and planes for sea and air travel. Transportation methods are widely available in most areas of the U.S. which improves trade. People have easy access to transportation which promotes the travel of individuals and goods can also be easily shipped through a variety of methods making trade easier and more efficient.

    https://www.transportation.gov/mission/health/connectivity

    8) Education (4.0)

    The U.S. receives a high school due to laws enforcing mandatory schooling to some extent which has led to a 99% literacy rate and 69.7% of students going on to attend university. Due to inconsistencies between state education standards, there are differences between the quality of education students receive from state to state. Compared to other countries, the U.S. ranks second on education quality following the U.K.. When comparing completion of different levels of schooling, the U.S. does not rank very high compared to other nations.

    https://www.theclassroom.com/percentage-high-school-students-attend-college-after-graduation-1423.html

    https://www.air.org/news/press-release/state-education-standards-vary-widely

    9) Social Mobility (2.0)

    The U.S. receives a low score because statistics have shown that those who make minimum wage are more likely to remain making minimum wage without the ability to move into higher social classes. Those who make higher wages tend to stay within their respective class showing trends among moving upwards in social class to be in decline.

    https://www.businessinsider.com/social-mobility-is-on-the-decline-and-with-it-american-dream-2017-7

    https://en.wikipedia.org/wiki/Socioeconomic_mobility_in_the_United_States

    10) Share of All Jobs in Small Businesses (4.5)

    The U.S. receives a high score for jobs in small businesses because approimately 58.9 million people are employed by small businesses which makes up approximately 47.5% of the countries total workforce. Small businesses also comprise 99.9% of U.S. businesses.

    https://www.fundera.com/blog/small-business-employment-and-growth-statistics

    11) Freedom from Outside Control (5.0)

    The U.S. receives a high score because citizens are granted protection under the government and are much safer from foreign governments than residents of other countries. Under the U.S. constitution, U.S. citizens are not subject to foreign laws while operating within the U.S. borders.

    https://www.law.cornell.edu/uscode/text/22/chapter-23

    https://www.law.cornell.edu/constitution-conan/article-2/section-3/protection-of-american-rights-of-person-and-property-abroad

    12) Protection of Domestic Enterprises (1.5)

    The U.S. receives a low score because while the economy creates many jobs and the government passes legislation to protect jobs, however, the trade deficit and the national debt are the highest they’ve ever been. Regulations passed in the U.S. also raise the costs of production which leads American companies to move production offshore to save costs.

    https://www.thebalance.com/how-outsourcing-jobs-affects-the-u-s-economy-3306279

    https://en.wikipedia.org/wiki/National_debt_of_the_United_States

    13) Foreign Currency Transactions (5.0)

    The U.S. receives a high score because while U.S. does not require that the U.S. dollar be used for transactions, most businesses primarily prefer or only accept U.S. dollars as payment which makes most people in America use the U.S. dollar. Since the U.S. dollar is used widely and commonly in the U.S., monetary and fiscal policies are effective and useful.

    https://mises.org/wire/use-us-dollars-mandatory-united-states

    https://www.thebalance.com/the-u-s-dollar-3305729

    14) Border Control (4.5)

    The U.S. Department of Homeland Security as well as the Customs and Border Protection agencies regulate and monitor the borders as well as goods that enter and leave the country to ensure smuggling and a loss of wealth are avoided which gives the U.S. a high score on this policy. Some immigrants, however, are able to smuggle goods across the border where security is weaker but overall the borders are secure preventing a loss of wealth.

    https://www.dhs.gov/topic/border-security

    https://www.usatoday.com/border-wall/story/drug-trafficking-smuggling-cartels-tunnels/559814001/

    https://www.cbp.gov/travel/us-citizens/know-before-you-go/prohibited-and-restricted-items

    15) Currency (5.0)

    The U.S. receives a high score because the U.S. dollar is the official currency in the U.S. and is also widely accepted throughout the world. The dollar holds its value well and is used in the global market for a variety of products which makes it a strong currency nationally and globally.

    https://en.wikipedia.org/wiki/International_use_of_the_U.S._dollar

    https://www.investopedia.com/articles/forex/040915/countries-use-us-dollar.asp

    16) Cultural, Language Homogeneity (3.0)

    In the U.S., there are people of various cultures and ethnicity due to the high amount of immigration to the U.S.. The U.S. is also supposed to treat each person fairly and allow them to express themselves however they wish and is culturally appropriate for them. Often times, however, minorities are attacked and harmed by the majority and racism is prevalent in American society. The majority of America is still caucasian and makes up approximately 60% of the U.S. population. People are often treated differently and unfairly based on their religion, ethnicity, culture, and being LGBT.

    https://en.wikipedia.org/wiki/Demography_of_the_United_States

    https://en.wikipedia.org/wiki/Racial_bias_in_criminal_news_in_the_United_States

    17) Political Effectiveness (2.0)

    Under the Trump administration, reactions to natural disasters in the U.S. has been unpredictable. Under the Department of the Interior, policies on recovery and responses to natural disasters are laid out to support areas hurt by these disasters. Under Trump, relief to areas affected by hurricanes was delayed because of his insistence that the hurricane would strike areas that it was never projected to. The government also delayed aid to Puerto Rico due to Trump’s own personal belief that the territory received too much funding. The government has also shut down twice during this presidency because agreements were not made in time.

    https://www.vox.com/policy-and-politics/2019/3/29/18285367/congress-disaster-relief-trump-puerto-rico

    https://en.wikipedia.org/wiki/Government_shutdowns_in_the_United_States

    18) Institutional Stability (5.0)

    The U.S. government follows the core principles laid out in the U.S. Constitution which leads to a predictable and stable government. Many of the core institutions have been operating smoothly for years with no erratic or unstable change which provides business owners with a sense of stability.

    https://www.usip.org/guiding-principles-stabilization-and-reconstruction-the-web-version/stable-governance

    http://www.ncsl.org/blog/2016/12/08/just-how-stable-is-american-democracy.aspx

    19) Honest Government (1.0)

    Under the Trump administration, trust in the honesty of the U.S. government has drastically declined. Due to all the scandals, accusations, and worrying policies by the government, many have lost faith in the leadership and don’t believe the government is honest. With the impeachment proceedings underway, more troubling information has been brought to light and faith in the honesty of the government continues to diminish.

    https://www.nytimes.com/2019/10/14/us/politics/donald-trump-impeachment-news.html

    https://en.wikipedia.org/wiki/List_of_federal_political_scandals_in_the_United_States

    20) Common Laws (1.0)

    While under the law, the citizens of the U.S. are all equally protected and treated fairly, many classes and people face persecution or unfair treatment. African Americans are approximately five times more likely to be incarcerated than caucasians. Racial profiling is also quite common which decreases the safety and comfort for many people. Poverty is also frowned upon and those who are poorer are provided a lawyer by the government for legal cases, however, those with large sums of money can afford more experienced or qualified lawyers and receive better treatment due to their class.

    https://www.naacp.org/criminal-justice-fact-sheet/

    https://www.debt.org/faqs/americans-in-debt/poverty-united-states/

    21) Central Bank (5.0)

    In the U.S., the central bank is the Federal Reserve Bank which is run by seven board members who serve to regulate the economy and other banks. The Federal Reserve bank uses monetary policy in order to regulate the value of currency and prevent instability. Some actions the bank may take are the selling of bonds to reduce the money supply and curb inflation which helps keep the economy and currency stable. The Federal Reserve also regulates other banks and ensures banks meet certain minimums to protect citizens and ensure their money is safe.

    https://www.federalreserve.gov

    https://www.kansascityfed.org/aboutus/federalreservesystem

    22) Domestic Budget Management (1.0)

    In 2018, the U.S. ran a $779 billion deficit. The collected revenue was $3.33 trillion through government taxes and programs, but the budget for the year was $4.1 trillion which caused the deficit. The deficit continues to grow each year which also grows the national debt which makes the U.S. very bad at managing the domestic budget and helping businesses grow.

    http://www.crfb.org/blogs/treasury-2018-deficit-was-779-billion

    https://www.thebalance.com/current-u-s-federal-budget-deficit-3305783

    https://www.cnn.com/2019/09/12/business/us-federal-deficit-august/index.html

    23) Government Debt (1.0)

    The U.S. has a national debt of $22 trillion, the largest in the world. The national debt continues to rise each year while the U.S. GDP has trailed behind at about $20 trillion. The debt distribution is approximately 27% intergovernmental while the remaining 73% is held by the public. This large national debt is bad for the economy and is very difficult to repay which puts the U.S. in a bad economic position.

    ://www.npr.org/2019/02/13/694199256/u-s-national-debt-hits-22-trillion-a-new-record-thats-predicted-to-fall

    https://www.thebalance.com/national-debt-by-year-compared-to-gdp-and-major-events-3306287

    24) Economic Statistics (4.0)

    The U.S. has many published economic statistics ranging from government affiliated articles to news sources and media coverage. The extensive coverage by both the government and media allows for a wide range of opinions, analytical perspectives, and extensive data on the economic climate in the U.S. Businesses trust the information available because there is extensive data and analysis which helps them make better investments and business choices.

    https://www.bea.gov/news/glance

    https://www.nytimes.com/section/business/economy

    25) Protection of Public Health and Safety (3.0)

    In the U.S., public health is closely regulated and monitored and can be seen with the work of the FDA. This generates wealth and helps maintain health in the U.S.. The infant mortality rate in the U.S. was 5.8 deaths for every 1,000 live births in 2017. The reason for the high infant mortality is generally linked to premature births and other complications. The rate of tuberculosis infections in the U.S. was about 2.8 for every 100,000.

    https://www.cdc.gov/reproductivehealth/maternalinfanthealth/infantmortality.htm

    https://www.cdc.gov/tb/publications/factsheets/statistics/tbtrends.htm

    26) High Wage Policies (0.0)

    In the US, the federally enforced minimum wage is $7.25 an hour. In San Francisco, the minimum wage is $15.59 an hour. Despite having a higher minimum wage, the quality of life is not better. Due to higher wages, businesses raise prices in order to compensate for having to pay employees higher wages. This counteracts the added income from higher wages and in many cases actually makes it more expensive to live in the area. In San Francisco, the cost of living has risen to where it is impossible to survive on minimum wage making wage policies ineffective.

    https://www.paycor.com/resource-center/minimum-wage-by-state-and-2018-increases

    https://en.wikipedia.org/wiki/Minimum_wage_in_the_United_States

    https://smartasset.com/mortgage/what-is-the-cost-of-living-in-san-francisco

    27) Environmental Protection (2.5)

    The US has the environmental protection agency to regulate businesses and corporations and ensure they are not breaking environmental protection laws. Since these regulations fine or shut down companies who fail to comply, the environment is healthier and safer for people than it would be without the EPA. During the Trump administration, however, regulations and protection has been reduced and changed making it easier for environmental destruction leading to worse conditions and more pollution.

    https://www.epa.gov/laws-regulations

    https://www.nytimes.com/interactive/2019/climate/trump-environment-rollbacks.html

    28) Strong Army (5.0)

    The US military budget for 2019 is $693 billion, the highest budget for military expenditure in the world. The next highest spending is China at $168.2 billion making the US military budget 4 times greater than the next highest budget. Due to this large budget for the military, the US has the strongest military in the world providing the nation with stable security giving the citizens and business owners safety.

    https://en.wikipedia.org/wiki/List_of_countries_by_military_expenditures

    https://www.pgpf.org/chart-archive/0053_defense-comparison

    https://www.usnews.com/news/best-countries/power-rankings

    29) Foreign Trade Impact (4.5)

    In 2018, the US GDP was $20.50 trillion with exports earning $2.55 trillion and imports taking $3.45 trillion. Combining exports and imports yields $6 trillion put into foreign trade which makes up approximately 30% of the 2018 GDP giving the US a high score in foreign trade as it is not dependant on other nations or missing out on trade opportunity by not trading.

    https://www.bea.gov/news/2019/initial-gross-domestic-product-4th-quarter-and-annual-2018

    https://www.thebalance.com/components-of-gdp-explanation-formula-and-chart-3306015

    30) Management of Foreign Currency Budget (2.0)

    In 2018, the US exported $2.500 trillion in goods and services while importing $3.121worth of goods and services leaving a trade deficit of $621 billion. Compared to other nations, the US has the highest trade deficit in the world. Since the US has a deficit of $621 billion which is more than any other nation, the US receives a low score for this policy.

    http://worldpopulationreview.com/countries/us-trade-deficit-by-country/

    https://www.cfr.org/backgrounder/us-trade-deficit-how-much-does-it-matter

    https://fiscal.treasury.gov/reports-statements/treasury-reporting-rates-exchange/

    31) Layers of Collective Action (5.0)

    The U.S. has many layers of collective action due to the way the government is constructed. Almost all government officials and bodies are elected through a democratic process giving the people the choice in who leads their government. An example of collective action would be the local government in San Francisco. Many of the individuals on the Board of Supervisors are S.F. natives who grew up in the city. Some of them also served on the Board of Education prior giving them control of the school district and education.

    https://www.britannica.com/topic/collective-action-problem-1917157

    https://pubs.aeaweb.org/doi/pdf/10.1257/jep.14.3.137

    32) Pro Business Climate (5.0)

    The U.S. is one of the leading nations in innovation and development globally. This competitive market established here leads entrepreneurs to open up more businesses in the economy creating more jobs as well as prompting more innovation due to increased competition. Entrepreneurs are also respected and valued highly in society due to their work and contributions in developing new technology and helping to better society and the economy.

    https://www.acs.org/content/acs/en/policy/publicpolicies/innovation/usbusinessclimate.html

    https://www.upcounsel.com/business-climate-definition

    https://www.cnbc.com/2019/07/10/americas-top-states-for-business-2019.html

    33) Government Enterprises (2.5)

    Through government subsidies and support, making up approximately 20% of the GDP, jobs in certain markets are kept available instead of being lost to structural unemployment and other factors allowing for the growth of GDP. Without government intervention, stability in certain economies would degrade leading to instability and reduced growth for the nation’s GDP. Government spending as a whole makes up approximately 38% of the GDP as a whole making government enterprises critical to the economy.

    https://www.cbpp.org/research/federal-budget/policy-basics-where-do-our-federal-tax-dollars-go

    https://www.cato.org/cato-handbook-policymakers/cato-handbook-policy-makers-8th-edition-2017/special-interest-spending

    34) International Security Agreements (5.0)

    The U.S. has one of the strongest and largest military forces in the world providing security against military attacks from other nations. Under NATO, the U.S. has further developed peaceful relations with its neighbors as well as added security against hostile entities. The U.S. also has allies beyond the members of NATO which provide additional security as well.

    https://www.nato.int/cps/en/natolive/official_texts_17120.htm

    https://en.wikipedia.org/wiki/Major_non-NATO_ally

    35) Protection of Domestic Enterprises from Government Mandated Costs (2.0)

    Under government restrictions in the U.S., mandated costs imposed by the government on businesses will influence policies such as minimum wage, health benefits, working conditions, and environmental protection. The government regulation on areas such as those listed previously will reduce the ability for businesses to grow naturally and increase the cost of running a business leading to less money for investment and development.

    http://www.businessinsurance.org/the-true-costs-of-regulations/

    https://www.fundera.com/blog/government-regulations-on-business

    *********************************************************************************************

    MADALYN PAPPENFUSS


    This study presents a detailed study of the economic policies of the United States, as written by Specialist Madalyn Papenfuss. The ratings herein are based on the following rating scale:

    RATING SCALE

    5.0 Perfect Facilitation of Wealth Creation
    4.0 Midway between Perfect and Neutral
    3.0 Neutral Effect on Wealth Creation
    2.0 Midway between Neutral and Obstructionist
    1.0 Perfectly Obstructionist to Wealth Creation
    [Rating scale copyright Mike P. McKeever, 2019. Used herein with permission]

    RATING SUMMARY - MADALYN PAPPENFUSS 
    
    POLICY NUMBER      RAW SCORE   ADJUSTED SCORE     POSSIBLE  PERCENTAGE
    
            1               5.0          15.0             15.0       100 %
    
            2               5.0          15.0             15.0       100
    
            3               2.0           6.0             15.0        40
    
            4               5.0          15.0             15.0       100
    
            5               3.0           9.0             15.0        60
    
            6               5.0          15.0             15.0       100
    
            7               4.0          12.0             15.0        80
    
            8               4.0          12.0             15.0        80
    
            9               2.0           6.0             15.0        40  
    
            10              4.0          12.0             15.0        80
    
            11              5.0          15.0             15.0       100
    
            12              2.0           6.0             10.0        40
    
            13              5.0          10.0             10.0       100
    
            14              4.0           8.0             10.0        80
    
            15              5.0          10.0             10.0       100
    
            16              3.0           6.0             10.0        60 
    
            17              3.0           6.0             10.0        60
    
            18              5.0          10.0             10.0       100
    
            19              3.0           6.0             10.0        60
    
            20              3.0           6.0             10.0        60
    
            21              5.0          10.0             10.0       100
    
            22              1.0           2.0             10.0        20
    
            23              1.0           2.0             10.0        20      
    
            24              5.0          10.0             10.0       100
    
            25              3.0           6.0             10.0        60
    
            26              3.0           6.0             10.0        60
    
            27              2.0           4.0             10.0        40
    
            28              5.0          10.0             10.0       100
    
            29              4.0           4.0              5.0        90  
    
            30              2.0           2.0              5.0        40
    
            31              3.0           3.0              5.0        60
    
            32              2.0           2.0              5.0        40
    
            33              4.0           4.0              5.0        80 
    
            34              5.0           5.0              5.0       100
    
            35              3.0           3.0              5.0        60
    
       TOTAL              125.0          273.0           370.0        73.8
    %
                          =====          ======          =====        =====
    
    

    INDIVIDUAL POLICIES - MADALYN PAPPENFUSS

    1. Freedom From Internal Control - 5.0

    The Constitution of the United States guarantees that states cannot discriminate against citizens of other states. States must give people from other states the same fundamental rights it gives its own citizens, therefore all citizens are free to roam around the United States. Also, because the Federal Government regulates interstate commerce business can freely be conducted across state lines which allows entrepreneurs to engage in business activity anywhere in the United States.

    https://www.annenbergclassroom.org/article-iv-section-2/

    https://constitutionallawreporter.com/article-4-section-2/

    2. Freedom of Speech - 5.0

    In the United States, there is a free flow of ideas from all citizens. The first amendment of the constitution gives all citizens the right to free speech. It forbids Congress from making any law that “ abridg[es] the freedom of speech”. All citizens are allowed to voice new ideas and grievances.

    Obviously in an attempt to keep the public safe there are specific limitations. The United States government protects free speech but limits the contents that are protected. The line between free speech and hate speech, which is not allowed under the first amendment, is often blurred and difficult to distinguish. Hate speech, as defined by the American Bar is “speech that threatens or incites lawlessness or that contributes to motive for a criminal act may, in some instances, be punished as part of a hate crime, but not simply as offensive speech”.

    As a result the free flow of ideas and business creation is encouraged by the government which encourages economic activity.

    https://www.law.cornell.edu/constitution/first_amendment

    https://www.americanbar.org/groups/crsj/publications/human_rights_magazine_home/the-ongoing-challenge-to-define-free-speech/the-ongoing-challenge-to-define-free-speech/

    https://www.britannica.com/topic/First-Amendment/Permissible-restrictions-on-expression

    3. Effective, Fair Police Force - 2.0

    Only 17.5% of all US businesses are owned by women and minorities, which means that most business owners are white males. This group of the population has the highest amount of trust with the police which leads to a positive business climate in majority white areas.

    Unfortunately,the police in the United States are often portrayed as untrustworthy and unfair to minorities which therefore creates a toxic climate for the groups being treated unfairly. In the United States, African American males were 2.5 times as likely to be murdered by the police in comparison to their white counterparts. For black women the rate was 1.4 times as likely. Additionally, the police killed 1,147 people and 25% of those were African Americans in 2017. African Americans make up more of the drug-related arrests even though drug use among the races remains consistent. So this leads to a lack of business creation in minority neighborhoods.

    https://www.citylab.com/equity/2019/08/police-officer-shootings-gun-violence-racial-bias-crime-data/595528/

    https://www.vox.com/identities/2016/8/13/17938186/police-shootings-killings-racism-racial-disparities

    https://www.washingtonpost.com/graphics/2019/national/police-shootings-2019/

    4. Private Property - 5.0

    The fifth amendment protects private property. The government cannot take away private land “without just compensation” and cannot be deprived of property without “due process of the law”. The government can take away private property in order to build a public good but they have to provide compensation from the land. These two protections assists in creating the economic climate that exists in America today.

    https://www.constituteproject.org/constitution/United_States_of_America_1992

    https://www.law.cornell.edu/wex/fifth_amendment

    5. Commercial Banks - 3.5

    In 2018, there were 4,708 FDIC - insured banks in the US. The FDIC, Federal Deposit Insurance Corporation, is an agency that insures the banking system in the United States. The primary function of this agency is to insure the bank deposits up to 250,000 US dollars which contributes to the confidence in the U.S. banking system.

    The banks in the United States do not have the best reputation, only 30% of people have a “great deal“ of confidence in the people running the bank in 2018. However this has not generally affected how the population in general transacts business or stores their money. Commercial banks accept deposits, offer checking account services, make loans, and offer basic financial products. These banks are where most of the population does their banking rather than investment banks. Commercial banks profit by providing loans and gaining interest from those loans.

    Bank profits in the first three months of 2018, soared by 28% earning 56 billion dollars according to statistics published by the Federal Deposit Insurance Corporation making that quarter the most profitable. This promotes job and business creation by providing a safe haven for money and a reputable marketplace for financial transactions.

    https://www.americanbanker.com/opinion/banks-are-running-out-of-time-to-regain-public-trust

    https://www.investopedia.com/terms/c/commercialbank.asp

    https://money.cnn.com/2018/05/22/investing/banks-record-profits-fdic-deregulation-bill/index.html

    https://www.fdic.gov/news/news/press/2018/pr18030.html

    6. Communication Systems - 5.0

    There have been great advancements in communication over the last two decades. The rise of the internet is a major element of this increase. There is an extensive network of telephone lines, television stations, and other resources of data.

    The United States has seen a decrease in print media and an increase in online sources. The United States has record lows in daily newspaper circulation at 8%. Though 49% of Americans still get their news from television, there has been a rise in people getting their news from social media or other online sources. News from social media is around 20% of all Americans and news from online websites are 33% of the US population. Having this extensive and rapid network of communication leads to business and job creation, as well as increasing the efficiency with which businesses function.

    https://www.nap.edu/read/5968/chapter/3

    https://www.pewresearch.org/fact-tank/2018/12/10/social-media-outpaces-print-newspapers-in-the-u-s-as-a-news-source/

    https://www.journalism.org/fact-sheet/newspapers/

    7. Transportation - 4.0

    All of the United States is accessible through either airplane, car, or train. This means all markets and population centers are generally accessible. The majority of Americans, almost 76%, are reliant on automobiles to get to work. While public transport is a mere 5%. According to the American Public Transportation Association, Over 45% of American do not have access to public transportation, meaning cars or carpooling is the main option. Additionally, the trucking, railroad and air sectors effectively and efficiently move goods throughout the country and to our trading partners worldwide.

    https://www.worldatlas.com/articles/america-s-most-popular-ways-of-commuting-to-work.html

    https://www.apta.com/news-publications/public-transportation-facts/

    https://www.brookings.edu/blog/the-avenue/2017/10/03/americans-commuting-choices-5-major-takeaways-from-2016-census-data/

    8. Education - 4.0

    America’s children spend 12 years in mandatory education with optional higher education also readily available. According to the World Bank, literacy rates for the United States are 99% and has remained consistent since the 1990s. This is similar to rates among other developed countries. Colleges and universities in America are ranked highly in the world, around 42/100 of the top universities are located in the US.

    However, the mandatory education system in the United States is mediocre compared to the rest of the world. Results from an international student assessment in 2012 revealed that the US was below average. This test was the Programme for International Student Assessment and is taken by 15 year olds every three years. The US was below or at average for all the categories; Mathematics, Reading, and Science. The OECD’s (Organization for Economic Cooperation and Development) mathematics mean score for the test is 494 while United States is 481, which is the US’s worst subject. This means that the future is not as positive as it is for other countries with which we compete economically.

    https://www.studyusa.com/en/a/58/understanding-the-american-education-system

    https://nces.ed.gov/programs/coe/indicator_cmd.asp

    https://uscollegeinternational.com/2019/06/14/pros-and-cons-of-american-education-system/

    https://www.theatlantic.com/education/archive/2013/12/american-schools-vs-the-world-expensive-unequal-bad-at-math/281983/

    https://www.macrotrends.net/countries/USA/united-states/literacy-rate

    9. Social Mobility - 2.0

    This term refers to the ability to change income and status in relation to our parents. Often, the cycle is repetitive in regards to opportunities given. Most Americans have the belief of the American Dream, but that ideal is over. According to Michael Hout, a New York University sociologist, your circumstances at birth such as your parents job and income are a major factor in deciding how far you get in life.

    https://www.businessinsider.com/social-mobility-is-on-the-decline-and-with-it-american-dream-2017-7

    https://www.forbes.com/sites/aparnamathur/2018/07/16/the-u-s-does-poorly-on-yet-another-metric-of-economic-mobility/#515f9a136a7b

    https://psmag.com/economics/new-research-debunks-the-upward-mobility-myth

    https://inequality.stanford.edu/cpi-research/area/mobility

    10. Share of All Jobs in Small Businesses - 4.0

    The United State‘s 2019 Small Business profile showed that small businesses added 1.8 million new jobs within the last year. Small businesses employ 47.3% of the United States workforce. Small businesses make up 99.9% of United States Businesses. Unemployment in October 2019 was 3.6%, which arguably is at or extremely close to potential full employment. Small businesses are the driving factor for local economies as they provide growth and innovation. However, the existence of large businesses such as Amazon, Nike, or Apple, make it difficult for the smaller entity to grow and compete economically.

    Small businesses are protected by the Small Business Act (SBA) in order to protect the interests of the business and in turn strengthen the economy. The quantifiers of a small business include the average annual receipts or the number of employees. The actual numbers vary depending on the field the business performs in.

    https://www.sba.gov/advocacy/small-businesses-drive-job-growth-us

    http://www.ncsl.org/research/labor-and-employment/national-employment-monthly-update.aspx

    https://cdn.advocacy.sba.gov/wp-content/uploads/2019/04/23142610/2019-Small-Business-Profiles-States-Territories.pdf

    https://www.forbes.com/sites/groupthink/2012/08/29/how-big-is-a-small-business-heres-why-it-matters/#51b978965c5d

    11: Freedom From Outside Control - 5.0

    Since, the Declaration of Independence, the United States and its citizens has a strong sense of individualization and control over themselves. There is a low threat of kidnapping from outside governments or internal threats. However, the US has seen a rise in theft of intellectual property. The United States Trade Representative has estimated the annual loss to China is around 225 and 600 billion dollars. Corporate espionage and cyberattacks are two ways China is gaining this intel.

    https://travel.state.gov/content/travel/en/international-travel/emergencies/what-state-dept-can-cant-do-crisis.html

    https://fortune.com/2019/03/01/china-ip-theft/

    12: Protection of Domestic Enterprises - 2.0

    The United States has a large trade deficit at 621 billion dollars in 2018. But, that has been increasing due to the US dollar strengthening. The US imports more than it exports. The United States has entered trade agreements such as the North American Free Trade Agreements and Dominican Republic-Central America-United States Free Trade Agreement, leading to free trade with over 20 countries, which encourages trade but also makes the trade deficit larger.

    https://fortune.com/2019/03/01/china-ip-theft/

    www.freetradedoesntwork.com

    https://www.state.gov/e/eb/tpn/bta/fta/c76143.htm

    https://2016.export.gov/fta/

    13: Forigen Currency Transactions - 5.0

    The United States currency is the basis for most international trade deals and remains extremely strong. Around 90% of forex trading involves the U.S. dollar. The dollar is just one of the world's 185 currencies according to the International Standards Organization List, but most of these currencies are only used inside their own countries. According to the International Monetary Fund, the U.S. dollar is the most popular. As of the first quarter of 2019, it makes up 61% of all known central bank foreign exchange reserves.

    https://mises.org/wire/use-us-dollars-mandatory-united-states

    https://www.thebalance.com/world-currency-3305931

    14: Border Control - 4.0

    Immigrants into the United States has been an important debate often and has even increased over the last decade. There has been a 300% increase in the number of family units apprehended from 2018-2019 and an increase of 54% in the number of unaccompanied children along the southwest border during the same time span. Trump has increased in border control over his presidency and made it a priority. In 2018, there were a total of 13,788 arrests of criminal aliens, up 3,000 from the previous year. In the past immigration has been a net positive for the economy adding labor to our economic engine, but increasingly there is a concern among some in the populace that jobs will not be as readily available for some citizens if immigration is not better controlled, although this fact is disputed by most economists.

    https://www.cbp.gov/newsroom/stats/cbp-enforcement-statistics

    https://www.cbp.gov/newsroom/stats/sw-border-migration/usbp-sw-border-apprehensions

    https://www.cbp.gov/newsroom/stats/cbp-enforcement-statistics

    https://www.usatoday.com/story/news/politics/2019/01/16/fact-check-mike-pence-donald-trump-drugs-crossing-southern-border-wall/2591279002/

    https://www.whitehouse.gov/briefings-statements/president-donald-j-trumps-border-security-victory/

    15: Currency - 5.0

    The United States currency is the most widely used currency. The US dollar serves as the world's reserve currency and trading medium as well as the only currency used in the country. The United States currency makes up 62% of the foreign currency reserves. This gives the United States a preeminence among the world’s leading economies.

    https://www.businessinsider.com/us-dollar-heres-why-it-will-remain-dominant-around-the-world-2018-7

    https://www.thebalance.com/world-currency-3305931

    16. Cultural and Language Homogeneity - 3.0

    America is known for being a melting pot and praised for its multicultural society. but with new developments, such as the Trump presidency, we have seen a rise of extremist behavior against people of differing backgrounds and increasing restrictions on immigration. Over 92% of all American citizens speak English adequately leading to a homogeneous country which is beneficial economically as people interact and transact business. https://www.pewresearch.org/fact-tank/2019/06/17/key-findings-about-u-s-immigrants/

    http://blog.languageline.com/limited-english-proficient-census

    17. Political Effectiveness - 3.0

    With the nature of natural disasters, it is hard for the government to plan for them. Typically, the United States has done well because of the size of the economy and the effectiveness of the government in planning and paying for natural disasters. Recently, however, this has become more of a problem in dealing with the aftermath of Hurricane Katrina, in Louisiana, and in Puerto Rico, a US territory, which was hit by Hurricane Maria where the US responded by sending around 85 billion. This was not enough to rebuild the territory as the power grid is yet to be rebuilt two years later. FEMA is the government emergency response agency and it is grossly underfunded. Trump has proposed deep cuts which jeopardizes public health and safety.

    https://www.epa.gov/emergency-response

    https://prospect.org/economy/hurricane-season-looming-billions-disaster-recovery-puerto-rico-remain-unspent/

    https://www.edf.org/deep-epa-cuts-put-public-health-risk

    18. Institutional Stability - 5.0

    The United States Government, businesses, and the continuity of democracy have proved to help businesses. The use of the dollar being the world wide currency and the stock and commodities markets all point to a stable society and government. The establishment of democracy and the continuing success of the political system has allowed the economy to flourish.

    https://www.brookings.edu/opinions/political-institutions-economic-growth-and-democracy-the-substitute-effect/

    https://www.the-american-interest.com/2016/03/08/globalization-and-political-instability/

    19. Honest Government - 3.0

    The United States has a more honest government than some countries however there are some deep-rooted issues within our system. We are ranked 22/180 countries. The Citizen United case and recent developments indicated that businesses have gained outsized power to influence government. The opinions of ninety percent of Americans have essentially no impact at all, according to a study done by Professors Martin Gilens and Benjamin I. Page.

    Also, Trump has seemingly profited off being president. His failure to divest from his businesses have created a large conflict of interest. 60% of citizens believe that the level of corruption has risen dramatically since the President’s election.

    https://www.opensecrets.org/news/reports//citizens_united.php

    https://www.transparency.org/country/USA

    https://www.npr.org/2019/08/26/754485105/a-look-at-president-trumps-history-of-profiting-off-his-presidency

    https://www.usatoday.com/story/opinion/2019/09/04/trump-presidency-spawns-conflicts-of-interest-personal-profits-column/2197263001/

    https://act.represent.us/sign/the-problem/

    20. Common Laws - 3.0

    Rich people have an advantage within our justice system with programs such as the bail system and the lawyer system. The bail system allows rich people to get out of jail where poor people can’t post bail and therefore stay in jail until their trial. In addition, the lawyer system also favors rich people, poor people are assigned to overworked public defenders, whereas rich people can choose the top lawyers.

    The Justice System in America is riddled with issues. More than 25% of people arrested for drug law violations were black, however, drug use does not differ substantially by race or ethnicity. In recent years, black drivers are more likely to be stopped than whites. Police are more likely to stop a black or hispanic driver for “investigatory stops” rather than a “traffic-safety stop”. While in the stop, blacks and Hispanics are twice as likely to be searched than their white counterparts.

    In addition, African Americans and Latinos make up 29% of the population, yet comprise 57% of the US prison population. The cause of this is a biased use of discretion in the judicial system and policies that disproportionately target them. Prosecutors are more likely to charge people of color with more serious crimes compared to white people.

    https://www.sentencingproject.org/publications/un-report-on-racial-disparities/

    https://www.crf-usa.org/brown-v-board-50th-anniversary/the-color-of-justice.html

    https://www.huffpost.com/entry/fourteen-examples-of-raci_b_658947?guccounter=1&guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAJy84MrdoZ8StQbjgavB7M0DPKoWdYHV_BXYuyxm6-D14bwk-HPQUg9Im_AvjSR9nSGnqzQN2xyWQCiNd5XTgX-O7YeLumlubLFT1Obbw-oSutmxgtMVWbyjuHa0bsxpTRQfQmJoxtVjcER8me_XVRDgIrbU6uYokuPQyNO2-ntO

    21. Central Bank - 5.0

    The central bank in the United States is called the Federal Reserve Bank. This bank is independent from government influence and is effective is regulating monetary policy. According to the bank, it is independent from the government because their policies do not have to be approved by the President or anyone within the executive or legislative branches. Their main functions are to conduct monetary policy, promote stability, aid in consumer protection, fosters payments and settlements systems, and promotes safety of institutions. They have twelve regional banks that collect data from each specific region. They have a large influence over the monetary policy in the United States. They dictate the overnight interest rate for the banks which affects the interest rates in the financial system.

    https://www.federalreserve.gov/aboutthefed/structure-federal-reserve-system.htm

    https://www.thebalance.com/the-federal-reserve-system-and-its-function-3306001

    22. Domestic Budget Management - 1.0

    These data points below point to a trend in the United States, where the national debt is forever increasing, this indicates a weak government. The US government spends around 17% more than it receives in revenue.

    For the fiscal year of 2020, the revenue is 3.645 trillion dollars while the budget is 4.746 trillion which makes the deficit 1.103 trillion dollars.

    For the fiscal year of 2019, the revenue is 3.44 trillion dollars while the budget is 4.429 trillion making the deficit 1.092 trillion dollars.

    For the fiscal year of 2018, the revenue was 3.33 trillion dollars while the budget was 4.1 trillion making the deficit 779 billion dollars.

    For the fiscal year of 2017, the revenue was 3.315 trillion dollars while the budget was 3.981 trillion making the deficit 666 billion dollars.

    https://www.thebalance.com/current-u-s-federal-government-tax-revenue-3305762

    https://www.thebalance.com/u-s-federal-budget-breakdown-3305789

    https://www.thebalance.com/fy-2019-federal-budget-summary-of-revenue-and-spending-4589082

    https://www.cbo.gov/publication/55364

    http://www.crfb.org/blogs/treasury-2018-deficit-was-779-billion

    23. Government Debt - 1.0

    The United States debt is now more than twenty-two trillion dollars, harming the economy because the government is competing with the private sector for funds. The country has run deficits every fiscal year since 1970, except for the years from 1998-2001. The national debt to GDP ratio was 103% in the first quarter of 2019. This high percentage means the country is less likely to pay back its debts, this could lessen trust of the government and hurt the economy.

    The debt in the United States takes two main forms: intragovernmental holdings and debt held by the public. The intragovernmental holdings makes up 27% of the total debt. It is made up of money that the government owes itself for programs such as social security and disability insurance, federal retirement funds, and others. The other 73% is public debt. It is made up of money that the government owes to foreign investors and governments, federal reserve, and other individuals.

    https://www.investopedia.com/terms/d/debtgdpratio.asp

    https://www.npr.org/2019/02/13/694199256/u-s-national-debt-hits-22-trillion-a-new-record-thats-predicted-to-fall

    https://www.thebalance.com/debt-to-gdp-ratio-how-to-calculate-and-use-it-3305832

    https://www.thebalance.com/who-owns-the-u-s-national-debt-3306124

    24. Economic Statistics - 5.0

    Information on economic statistics in the United States in plentiful. The US Bureau of Labor Statistics reports on employment, hours worked, productivity of workers, etc. While the US Federal Reserve reports on exchange rates, interest rates, and more. Other examples of resources are the Census Bureau, US Treasury, Wall Street Journal Index, and many more. In the United States, there is information from the government and from private forums. Most of the information from these are viewed as trustworthy and accurate.

    These sources are updated every ten years, in the case of the census, but other update years, monthly, even daily.

    https://library.law.yale.edu/news/75-sources-economic-data-statistics-reports-and-commentary

    https://www.bea.gov/

    25. Protection of Public Health and Safety - 3.0

    The rate of tuberculosis is at an all time low, the rate is 2018 was 2.8, which is a .7% decrease from 2017. Compared to other countries, it is one of the lowest. Whereas the United States ranks number 33 out of 36 for infant mortality, in comparison to other OECD countries. The US rates have been declining, the rate is still at 3.9 deaths per 1,000 live births (rates differ per state).

    The United States has one of the most complicated healthcare systems. The United States spends the most on healthcare yet, 44 million people are uninsured and people in the US aren’t expected to live as long as people in the EU.

    http://www.cidrap.umn.edu/news-perspective/2019/03/tb-us-all-time-low-global-decline-small

    https://www.americashealthrankings.org/learn/reports/2018-annual-report/findings-international-comparison

    26. High Wage Policies - 3.0

    Relative to other countries our wages are high, causing many American businesses to produce in other countries who don't have any labor unions or have low minimum wage requirements. Due to low tariffs and cheaper goods produced overseas, domestic markets are hampered.

    The minimum wage across the country is 7.25 dollars an hour, in cities like New York City, SeaTac, and San Francisco the minimum wage is at or over 15 dollars. The national minimum wage allows for a person to make 15,080 dollars a year if they are working full time, this is 8% below the poverty level for a single-parent household (16,337). Therefore, insufficient for the cost of living in America.

    https://www.dol.gov/whd/minwage/coverage.htm

    https://minimum-wage.procon.org/

    27. Environmental Protections - 2.0

    America has many groups who have the environmental protection in mind, such as the EPA (Environmental Protection Agency), Greenpeace, and the Sierra Club . The United States has a complicated relationship with environmental protection. The US was one of the first to take action with their Clean Air Act passed in 1970 and the Clean Water Act was passed in 1977. The EPA, US Department of the Interior, and the US Army Corps of Engineers are entrusted to enforce the regulations in place. The EPA said that the nation's air, water and land were cleaner and better protected than they were 30 years ago. Air pollution has declined 25% and the volume of toxic chemicals have declined 48% since 1988.

    But recent political change with President Trump ceasing participation with the 2015 Paris Agreement on climate change, seemingly changes America's position on being on the forefront of environmental concerns. Trump has also weakened the clean air and water acts.

    https://www.epa.gov/

    https://www.bbc.com/news/world-us-canada-48531019

    https://www.nytimes.com/2003/06/24/us/epa-calls-us-cleaner-and-greener-than-30-years-ago.html

    28. Strong Army - 5.0

    The United States Military is considered to have one of the best militaries in the world due to its high spending, assets, and advanced technology. The United States spends a large amount of the budget on the military. Around 54% of all the federal discretionary spending went to the military in 2015, spending 598.5 billion dollars. The US military spending is an estimated 989 billion dollars from October 1, 2019 to September 30, 2020. The United States spends more on defense than the next nine countries combined.

    The strong military allows for entrepreneurs to feel safe in the United States, and continue their operations here.

    https://www.nationalpriorities.org/campaigns/military-spending-united-states

    https://www.military.com/daily-news/us-military-budget

    https://ceoworld.biz/2018/11/23/the-worlds-most-powerful-militaries-in-2018/

    29. Foreign Trade Impact - 4.0

    The United States consistently has a negative net export, meaning they import more than they export. The United States imported 3.1 trillion dollars of goods and services and only exported 2.5 trillions dollars. In 2017, exports were 12.06% of GDP. In total, foreign trade impact accounted for 27% of the United States GDP. The United States has a pretty good balance compared to other countries, China’s trade makes up around 38.25% of their GDP and Belarus’s trade makes up around 134% of their GDP which is extremely unbalanced, susceptible to outside forces.

    https://www.census.gov/foreign-trade/index.html

    https://www.thebalance.com/u-s-trade-deficit-causes-effects-trade-partners-3306276

    https://www.macrotrends.net/countries/CHN/china/trade-gdp-ratio

    https://wits.worldbank.org/CountryProfile/en/BLR

    30. Management of Foreign Currency Budget - 2.0

    The United States has a huge trade deficit. For example, in 2018, the United States imported 3.121 trillion dollars worth of goods and services and exported 2.5 trillion dollars leaving a deficit of 621 billion dollars. It reached a high in 2018, where the deficit was 891.3 billion dollars in goods alone. This reduces the economy’s domestic industries and decreases job opportunities within the United States. The major deficit threatens national security because of the United States’s dependence on foreign investment and debt in order to cover the costs.

    https://www.investopedia.com/articles/investing/051515/pros-cons-trade-deficit.asp

    https://www.cfr.org/backgrounder/us-trade-deficit-how-much-does-it-matter

    31. Layers of Collective Action - 3.0

    Collective Action is a group of people who attempt to further their interests through government policy, tax regulations, environmental and other regulations.

    Collective Action both helps and hurts businesses. Groups like Chamber of Commerce, National Restaurant Association, National Association of Realtors, and others all assist business. On the other hand, American Federation of Labor, Congress of Industrial Organizations, and others fight for workers rights thus driving up costs for businesses. In addition, the Sierra Club, Audubon, and other groups fight and lobby for environmental regulation that could affect business prosperity.

    https://courses.lumenlearning.com/amgovernment/chapter/collective-action-and-interest-group-formation/

    https://www.britannica.com/topic/collective-action-problem-1917157

    32. Pro-business Climate - 2.0

    In the United States, big business is often criticized. In our system of capitalism, entrepreneurship and business power leads to excesses like the exploitation of workers and the environment. While the government generally supports businesses, through favorable tax legislation and governmental departments which assist and encourage businesses, the ethics of business is often questioned in society. Often, CEOs prioritize profits over product quality and the well being of their employees. CEOs are seen as greedy, as their wages are on average 221% of the average wage for a worker in their corporation.

    https://www.pacificresearch.org/californias-business-climate-continues-to-receive-poor-scores/

    https://www.cnn.com/2019/08/23/perspectives/business-roundtable-statement-ceos/index.html

    33. Government Enterprises - 4.0

    Subsidies can come in multiple forms such as cash subsides, tax concessions, assumption of risk, government paying higher prices than market, and stock purchases. Government and State-Owned Enterprises made up around 11.8% of GDP in 2016.

    Many business sectors receive billions of dollars from the United States Government in order to stay in business. The top three sectors receiving subsidies from the government are energy, agriculture, and transportation. This money given is meant to lower the market costs for the general population. The government subsidies necessary businesses in order to keep them providing. Without assistance they cannot survive economically.

    The government allows companies to become monopolies as the cost of entry to high for competition. This is especially for power, cable, and transportation companies. In return, the government regulates pricing and business models.

    https://www.investopedia.com/articles/basics/11/introduction-to-government-subsidies.asp

    https://www.thebalance.com/government-subsidies-definition-farm-oil-export-etc-3305788

    https://fred.stlouisfed.org/series/DDEI08USA156NWDB

    34. International Security Agreements - 5.0

    With the presence of a strong national military, these security agreements are not as important for the US. The United States spent 649 billion dollars on its military budget in 2018, which is 15% of all federal spending for that year. The spending is more than China, Saudi Arabia, India, France, Russia, United Kingdom, and Germany combined.

    The strong presence of military is further enhanced by the largest global military alliance: The North Atlantic Treaty Organisation (NATO). It is an alliance of twenty-eight countries that protects the freedom of its members. This protection further protects domestic security and contributes to a favorable economic climate.

    https://www.nationalpriorities.org/campaigns/military-spending-united-states/

    https://www.pgpf.org/chart-archive/0053_defense-comparison

    https://www.thebalance.com/nato-purpose-history-members-and-alliances-3306116

    35. Protection of domestic enterprises from government mandated costs - 2.0

    Regulations of businesses are extensive, United States saw an 850% increase in regulation while population only increased by 98% over the last 60 years. The laws and regulations affect all the workings of a business, from marketing and advertising, employment and labor guidelines, environmental regulations, and health and safety. In the United States, regulation of domestic enterprises is costly but when effective they enhance economic and social gain. The Environmental Protection Agency released a cost-benefit analysis on the Clean Air Act Amendments of 1990 showing that the benefit was 25 times the cost of regulation. In addition, it was estimated that 160,000 lives were saved.

    But, small businesses are forced to pay high prices in order to keep up with these laws. Navigating not only federal regulations but state and local can be unmanageable and can prevent establishment and growth of small businesses. The high costs of adhering to the guidelines disproportionately affects small businesses. These difficulties can hold back economic development and job creation.

    https://www.epi.org/publication/regulation_employment_and_the_economy_fears_of_job_loss_are_overblown/

    https://www.uschamber.com/series/above-the-fold/how-regulations-every-level-hold-back-small-business

    https://www.epiqglobal.com/en-us/thinking/class-action-mass-tort/faq/government-regulation-business-faq

    https://www.epiqglobal.com/en-us/thinking/class-action-mass-tort/faq/government-regulation-business-faq

    **********************************************************************************************

    BRANDON PEACE


    This study presents a detailed study of the economic policies of the United States, as written by Specialist Brandon Peace. The ratings herein are based on the following rating scale:

    RATING SCALE

    5.0 Perfect Facilitation of Wealth Creation
    4.0 Midway between Perfect and Neutral
    3.0 Neutral Effect on Wealth Creation
    2.0 Midway between Neutral and Obstructionist
    1.0 Perfectly Obstructionist to Wealth Creation
    [Rating scale copyright Mike P. McKeever, 2019. Used herein with permission]

    RATING SUMMARY - BRANDON PEACE
    
    POLICY NUMBER      RAW SCORE   ADJUSTED SCORE     POSSIBLE  PERCENTAGE
    
            1               5.0          15.0             15.0       100 %
    
            2               5.0          15.0             15.0       100
    
            3               1.0           3.0             15.0        20
    
            4               5.0          15.0             15.0       100
    
            5               5.0          15.0             15.0       100
    
            6               5.0          15.0             15.0       100
    
            7               4.0          12.0             15.0        80
    
            8               5.0          15.0             15.0       100
    
            9               1.0           3.0             15.0        20  
    
            10              5.0          15.0             15.0       100
    
            11              2.0           6.0             15.0        40
    
            12              1.0           2.0             10.0        20
    
            13              5.0          10.0             10.0       100
    
            14              4.0           8.0             10.0        80
    
            15              5.0          10.0             10.0       100
    
            16              2.5           5.0             10.0        50 
    
            17              1.0           2.0             10.0        20
    
            18              4.0           8.0             10.0        80
    
            19              1.0           2.0             10.0        20
    
            20              1.0           2.0             10.0        20
    
            21              5.0          10.0             10.0       100
    
            22              1.0           2.0             10.0        20
    
            23              1.0           2.0             10.0        20      
    
            24              5.0          10.0             10.0       100
    
            25              3.0           6.0             10.0        60
    
            26              4.5           9.0             10.0        90
    
            27              3.5           7.0             10.0        70
    
            28              5.0          10.0             10.0       100
    
            29              4.0           4.0              5.0        90  
    
            30              1.0           1.0              5.0        20
    
            31              5.0           5.0              5.0       100
    
            32              4.0           4.0              5.0        80
    
            33              4.0           4.0              5.0        80 
    
            34              5.0           5.0              5.0       100
    
            35              2.5           2.5              5.0        50
    
       TOTAL              121.0          259.5           370.0        70.1%
                          =====          ======          =====        =====
    
    

    INDIVIDUAL POLICIES - BRANDON PEACE

    1. Freedom from internal control (5.0)

    Citizens of the United States are free to travel to any state within the country, which has been judicially recognized as a fundamental Constitutional right. International travel only requires citizens to have a U.S. passport in order to leave and reenter the country.

    https://en.wikipedia.org/wiki/Freedom_of_movement#United_States

    https://www.united.com/ual/en/us/fly/travel/documentation-requirements/international.html

    2. Freedom of speech (5.0)

    Unlike many other countries, free speech is a right held by the American people, which is known as the First Amendment of the Constitution. This amendment is to protect all forms of communication from government censorship.There are, however, certain types of speech that are punishable by legal action, such as: threats of violence, defamation, and plagiarism. Freedom of speech is a fundamental aspect of the nation’s democracy, which could not exist without this amendment in place.

    https://www.history.com/topics/united-states-constitution/freedom-of-speech

    https://en.wikipedia.org/wiki/Freedom_of_speech

    3. Effective, fair police force (1.0)

    Since the Los Angeles riots in 1992, the public has paid close attention to law enforcement officers and their use of force. In more recent years, there have been multiple shootings of young black men, and other cases where excessive force was used. In addition, the officers that were responsible faced more-than favorable sentencing. Others faced no criminal charges, and instead were suspended with pay or resigned. Until officers are held accountable for their actions, instances of excessive use of force will continue to occur.

    https://www.cnn.com/2017/05/18/us/police-involved-shooting-cases/index.html

    https://journalistsresource.org/studies/government/criminal-justice/police-reasonable-force-brutality-race-research-review-statistics/

    4. Private property (5.0)

    Both the Fourth and Fifth Amendments protect citizens’ property ownership in certain ways. The Fourth Amendment protects Americans from “unreasonable searches and seizures” by the government. The Fifth Amendment protects Americans of being deprived of their property without due process of law.

    https://www.investopedia.com/ask/answers/040615/how-are-capitalism-and-private-property-related.asp

    https://www.pbs.org/tpt/constitution-usa-peter-sagal/rights/privacy-and-property-rights/

    5. Commercial banks (5.0)

    In September of 2019, the value of loans of commercial banks increased to 13.5 trillion dollars from 12.8 trillion in 2018. Commerical banks issued 840 billion in loans to individuals through credit cards and other related plans in 2017. As of 2018, there were 4,708 commercial banks. The leading commercial bank is currently J.P. Morgan Chase, which earned 131 billion in revenue in 2018.

    https://www.fdic.gov/bank/statistical/

    https://www.statista.com/topics/4406/commercial-banks-in-the-us/

    6. Communication Systems (5.0)

    With the advancement in technology during the last decade, accessibility to new information is as easy as it could ever be. There are over 240 million mobile phone internet users in the United States, which is one of the largest mobile communication markets in the world. 97% of households own television sets, which equates to approximately 114 million households having access to television networks. If an individual is unable to afford amenities like TV and internet, 98% of public libraries in the United States offer free internet access.

    https://www.statista.com/topics/1703/mobile-communications-us/

    https://en.wikipedia.org/wiki/Television_in_the_United_States

    http://www.ala.org/tools/libfactsheets/alalibraryfactsheet26

    7. Transportation (4.0)

    The freight transportation system moved nearly 17.7 billion tons of goods valued at more than $18.1 trillion, or an average of 54.7 tons of freight annually for every man, woman, and child in the United States in 2016, according to the Bureau of Transportation. People in the United States are able to access the locations of markets through the use of personal automobiles or public transportation. However, public transport is inaccessible to 45% of Americans.

    https://www.bts.gov/tsar

    https://www.apta.com/news-publications/public-transportation-facts/

    8. Education (5.0)

    The United States is ranked 7th in the world for its literacy rate, which is currently at 99%. As of 2017, 92.45% of highschool-aged children were enrolled in secondary education. According to the National Center of Education Statistics, as of 2017, total undergraduate enrollment in degree-granting postsecondary institutions was 16.8 million students, an increase of 27 percent from 2000. There is to be a projected 3% increase in undergraduate enrollment by 2028.

    https://www.macrotrends.net/countries/USA/united-states/literacy-rate

    https://data.worldbank.org/indicator/SE.SEC.NENR?locations=US

    https://nces.ed.gov/programs/coe/indicator_cha.asp

    9. Social Mobility (1.0)

    According to the Economic Policy Institute, `In 2015, the top 1 percent of families in the United States made more than 25 times what families in the bottom 99 percent did.’ Children of wealthy parents are more likely to remain in the top of the economic class, while children of poor parents are more likely to remain at the bottom. Furthermore, the level of education does not significantly affect socioeconomic skills gap.

    https://www.cnbc.com/2018/07/19/income-inequality-continues-to-grow-in-the-united-states.html

    https://www.russellsage.org/sites/default/files/RSFissuebriefs_0.pdf

    10. Share of all jobs in small business (5.0)

    At the end of 2017, there were 29.6 million small businesses that employed 57.9 million people. 47.8% of the total employment in the United States came from small businesses. Efforts by the Small Business Administration (SBA) provide lending and development programs to entrepreneurs and small businesses. The SBA has a least one office in each state, while also having 900 small business development centers.

    https://www.startblox.com/blog/8-small-business-statistics-2018

    https://www.sba.gov/sites/default/files/advocacy/United_States.pdf

    11. Freedom from outside control (2.0)

    Within the last decade, it can be argued that the citizens of the U.S. do not have as much freedom from certain agencies as they once had. With the boom of internet capabilities, there is a surge of reports of people’s personal data being both stored and exchanged without those individuals knowing. Companies like Google and Facebook have the ability to share users' private information with certain agencies at will.

    In addition to non-government organizations sharing citizen’s data; agencies such as the National Security Agency have been accused of being dishonest about their reasons for monitoring citizens’ personal data. In 2013, a lawsuit was filed against the NSA when they demanded that Verizon turn over all customer phone records. Since more and more information continues to surface about people’s data being stored and exchanged without their knowledge; public concern for the protection of their freedoms has been on the rise.

    https://www.theguardian.com/commentisfree/2018/mar/28/all-the-data-facebook-google-has-on-you-privacy

    https://www.wired.com/story/wired-guide-personal-data-collection/

    https://www.eff.org/nsa-spying

    12. Protection of domestic enterprise (1.0)

    In 2015, the U.S. outsourced 14.3 million jobs, which was over twice the amount of unemployed citizens (5.9 million) during that year. A large amount of these outsourced jobs are in fields such as: Information Technology, auto manufacturing, call centers, and Human Resources. Countries that the U.S. likes to employ as foreign workers include: China, India, and Mexico. Outsourcing jobs is will continue to deplete the need for unskilled labor, leaving only higher skilled positions left.

    https://www.thebalance.com/how-outsourcing-jobs-affects-the-u-s-economy-3306279

    http://www.ncbfaa.org/Scripts/4Disapi.dll/4DCGI/cms/review.html?Action=CMS_Document&DocID=14050&MenuKey=pubs

    13. Foregin currency transactions (5.0)

    The U.S. dollar is the only widely accepted form of currency in the majority of national markets. Not only is it extremely impractical to use other forms of currency to make purchases and sell goods here in the United States, but the U.S. dollar is the highest valued currency and the world’s reserve currency. To use other forms of currency in the U.S. would disrupt domestic markets.

    https://mises.org/wire/use-us-dollars-mandatory-united-states

    https://www.thebalance.com/world-currency-3305931

    14. Border Control (2.0)

    In February, 2019, 76,000 people were detained or deemed inadmissible at the U.S. southern border. Over the course of 2019, 360,000 people have been apprehended. In addition, there are currently 600 miles of continuous, unfenced stretch of border in Texas. The fences that the U.S. does have in place are designed to stop vehicles, not personnel.

    Only one-third (650 miles) of the U.S.-Mexico border is fenced. Even in areas where there are physical borders, the U.S. has discovered approximately 150 underground tunnels and railway systems used to smuggle goods in and out of the country.

    https://www.whitehouse.gov/briefings-statements/president-donald-j-trump-stands-declaration-national-emergency-southern-border/

    https://www.usatoday.com/border-wall/us-mexico-interactive-border-map/

    https://www.migrationpolicy.org/article/borders-and-walls-do-barriers-deter-unauthorized-migration

    15. Currency (5.0)

    The U.S. Dollar is the most powerful currency in the world. It’s the currency that is most used in international transactions and is the world’s primary reserve currency. Approximately 50% of international trade is conducted in U.S. dollars. In addition, it is the official currency in numerous countries.

    https://en.wikipedia.org/wiki/United_States_dollar

    https://www.thebalance.com/the-u-s-dollar-3305729

    16. Cultural, language homogeneity (2.5)

    Since the 18th century, the United States has adopted many subcultures. Unfortunately, this has led to a clash in political views, religious beliefs, workforce policies, education systems, and more. To further this claim, a survey conducted by The Atlantic found that 77% of the country is divided by religion, 83% said the country is divided by race and ethnicity, and 91% said the country is divided by politics.

    In contrast; in the United States, there are more than 300 spoken languages (as many as 800 in New York City). However, over 90% of the population speaks and understands some English. As long as the United States can maintain a dominant language while increasing immigration, the economy will continue to grow.

    https://www.theatlantic.com/politics/archive/2019/02/americans-remain-deeply-ambivalent-about-diversity/583123/

    https://www.economist.com/prospero/2015/06/18/social-capital-in-the-21st-century

    https://www.aei.org/economics/how-immigration-boosts-american-economic-growth-and-innovation/

    17. Political effectiveness (1.0)

    Currently, the government is not capable of regulating the speed at which the economy is advancing. Rural towns are suffering from not only the cessation of jobs and death of businesses, but a drug epidemic that is plaguing these communities as well. This is due to the advancements in technology and the increasing work capacity that is better suited for urban cities, resulting in the populus of rural towns to despair. Policymakers need to shift their focus to guaranteeing rural communities access to modern technology.

    https://www.nytimes.com/interactive/2018/12/14/opinion/rural-america-trump-decline.html?action=click&module=Opinion&pgtype=Homepage

    https://www.jec.senate.gov/public/_cache/files/fe1f3a2f-f89c-4628-ac6a-0e3b5fb8fafc/rural-economy-report-final.pdf

    18. Institutional stability (4.0)

    The primary reason the United States has not lost its overall stability is due to the U.S. Constitution. Since the Constitution was ratified in 1788, it’s served three main functions: to separate branches of government, to divide powers between the federal government and the states, and to protect personal liberties. Many argue that the Constitution is outdated due to modern societal and technological advances; however, a document protecting citizens from government tyranny is vital in maintaining the stability of a nation.

    https://home.ubalt.edu/shapiro/rights_course/Chapter1text.htm

    https://en.wikipedia.org/wiki/Constitution

    https://www.huffpost.com/entry/the-constitution-is-outdated_b_5439334

    19. Honest Government (1.0)

    The Federal Government has been masking its corruption for many years. However, we’ve seen much of this corruption surface when President Trump was elected to office. During his presidency, information was released that he had manipulated the 2016 election in his favor, to which the government did not take any action against. As of August, 2019, more credible information has been released that the President has been working with UN members to spy on his own political rivals to benefit him in the 2020 election. These are just two of the multiple accounts of corruption that we have seen by our government in the last few years, to which little has been done to combat it.

    https://intelligence.house.gov/uploadedfiles/20190812_-_whistleblower_complaint_unclass.pdf

    https://www.bbc.com/news/world-us-canada-49842895

    https://www.theguardian.com/us-news/2017/jul/09/trump-russia-new-meeting-revealed-involving-donald-jr-kushner-and-manafort

    20. Common Laws (1.0)

    The current state of the United States’ criminal justice system is unjust and does not represent each individual equally. The main instances of this occurring are cases that involve people of color and those who face poverty. From the U.S. Bureau of Justice Statistics, African-American adults are 5.9 times as likely to be incarcerated than whites, and Hispanic adults are 3.1 times as likely. African Americans and Hispanics make up 32% of the population, yet they comprise 56% of all people incarcerated.

    In terms of poverty, those who are poor often are assigned public defenders by counsels with limited criminal defense experience. These public defenders likely have too many cases at once and cannot defend their client properly. The amount of money that the defendant can pay to the courts should not dictate the severity of their punishment; however, this is a frequent problem in the United States judicial system and simply worsens the country’s inequality epidemic.

    https://www.sentencingproject.org/publications/un-report-on-racial-disparities/

    https://www.naacp.org/criminal-justice-fact-sheet/

    21. Central Bank (5.0)

    The United States Federal Reserve is an independent central bank because its leading officials are not elected nor are they part of the government. Therefore, the Federal Reserve is free from political officials imposing rules and regulations. The primary roles of the Federal Reserve consist of the following: fostering a safe and efficient system for U.S. dollar transactions, conducting monetary policy, promoting financial system stability, supervising and regulating financial institutions, and promoting consumer protection. Overall, the Federal Reserve ensures that the United States’ banking institutions and financial systems are protected.

    https://www.federalreserve.gov/data.htm

    https://www.frbservices.org/news/fed360/issues/051519/051519-fed-facts-functions.html

    22. Domestic budget management (1.0)

    Currently, The United States has a budget deficit of $1.109 trillion, which is 1.0% greater than it was in 2018. A large majority of the budget deficit is due to the national defense budget, which is $716 billion in 2019. A strong military is important; however, the United States spends 4 times as much as China (and 10 times as much as Russia) on defense spending. The budget deficit is only going to get larger as defense spending increases.

    https://www.thebalance.com/current-u-s-federal-budget-deficit-3305783

    https://comptroller.defense.gov/Portals/45/Documents/defbudget/fy2019/fy2019_Press_Release.pdf

    23. Government Debt (1.0)

    As of June, 2019, the United States’ debt reached $22 trillion. $16.1 trillion of which is public debt, while $5.9 trillion is intragovernmental debt. Social security and disability, as well as federal and military retirement, are the majority of the intragovernmental debt. Money owed to foreign nations, Federal Reserve, and mutual funds form the majority of the public debt. As of July, 2018, the debt subjected to GDP is at 104%. This debt-to-GDP ratio is only expected to grow as the national debt has steadily increased approximately $1.0 trillion each year since 2007.

    https://www.cia.gov/library/publications/the-world-factbook/geos/us.html

    https://www.thebalance.com/will-the-u-s-debt-ever-be-paid-off-3970473

    24. Economic Statistics (5.0)

    The United States has an abundance of reputable sources for economic data. The Bureau of Labor and Statistics, The Bureau of Economic Analysis, the Federal Reserve, and the US Treasury include data for: employment, exchange rates, economic trends, impact of fiscal policies and much more. These sources are available to the public, free to browse online and easily navigated.

    https://www.bea.gov

    https://library.law.yale.edu/news/75-sources-economic-data-statistics-reports-and-commentary

    25. Protection of Public Health and Safety (3.0)

    In 1960, the United States had an infant mortality rate of 25.9 deaths per 1,000 births. Due to modern medicine and health focused programs, the number has dropped to 5.7 deaths per 1,000 births in 2017.

    In addition, tuberculosis cases in the United States is on a steady decline. A total of 9029 cases of the disease were reported in 2018, which is a 1.3% decrease from 2017, and is currently the lowest recorded amount of cases in United States’ history.

    However, nation-wide obesity remains to be a serious issue. In 2018, 31.3% of the total population of the United States is said to be obese, which is a 1.4% increase from 2017. The healthcare costs of obesity-related health conditions range anywhere from $147 billion to $210 billion each year.

    https://fred.stlouisfed.org/series/SPDYNIMRTINUSA

    https://www.cdc.gov/tb/statistics/default.htm

    https://www.techtimes.com/articles/236330/20181213/obesity-rate-among-americans-rose-in-2018-exceeds-30-percent-of-adults-report.htm

    https://www.stateofobesity.org/healthcare-costs-obesity/

    26. High Wage Policies (4.5)

    Many people in the United States believe that both federal and state minimum wages should be increased. To an extent, this is true. The minimum wage should increase to match the current economy. The Raise the Wage Act of 2019 has proposed to gradually increase the national minimum wage to $15 by 2024, which would lift the pay of 27% of the labor force (40 million). This would ensure that the lowest wage workers are not receiving poverty wages.

    https://www.epi.org/pay/

    https://www.epi.org/publication/minimum-wage-testimony-feb-2019/

    27. Environmental protection (3.5)

    One of the main environmental issues that has been discussed over the last few years is global warming. According to the National Aeronautics and Space Administration (NASA), evidence demonstrating global warming include: global temperature rise, warming oceans, shrinking ice sheets, glacial retreat, decreased snow cover and sea level rise.

    In response to this, the Environmental Protection Agency (EPA) has partnered with voluntary energy and climate programs, which reduced over 345 million metric tons of greenhouse gases in 2010 alone. The EPA has also established vehicle greenhouse gas policies, which will eliminate six billion metric tons of greenhouse gas pollution by 2025.

    https://www.google.com/amp/s/climate.nasa.gov/evidence.amp

    https://archive.epa.gov/epa/climatechange/what-epa-doing-about-climate-change.html

    28. Strong Army (5.0)

    In 2018, the military budget was approximately $640 billion, which is equivalent to approximately $17.80 of the GDP. One of the main reasons having a strong military is important is because it maintains peace treaties with other nations. Without treaty organizations such as NATO, there will be a higher chance of unrest between nations.

    https://www.cnn.com/2018/07/11/politics/trump-defense-spending/index.html

    https://www.google.com/amp/s/thehill.com/opinion/national-security/421970-10-reasons-us-military-strength-remains-essential%3famp

    29. Foreign Trade Impact (4.0)

    In 2017, world trade was $34 trillion, according to a report by the Central Intelligence Agency. Foreign trade allows for both a growth in the economy as well as the creation of jobs. Advantages that american businesses have seen to foreign trade also include: increased revenues, decreased competition, disposal of surplus goods, and export financing. This is what has allowed the U.S. to gain a competitive advantage over the global market.

    https://www.cia.gov/library/publications/resources/the-world-factbook/geos/xx.html

    https://www.thebalance.com/international-trade-pros-cons-effect-on-economy-3305579

    https://www.americanexpress.com/en-us/business/trends-and-insights

    30. Management of foreign currency budget (1.0)

    The United States has been in a foreign trade deficit since 1976. In 2018, the largest trade deficit in United States’ history were recorded with China, Mexico, Germany, Japan, Ireland, Vietnam, and Italy. As of July of 2019, the international trade deficit was $54.0 billion. The deficit with the European Union is currently $20.1 billion; $7.0 billion of which is with Germany and is the highest since August of 2015. The effects of the United States remaining in an international increase the likelihood of devaluing the currency (inflation), and a weakened domestic industry (loss of jobs).

    https://tradingeconomics.com/united-states/balance-of-trade

    https://www.census.gov/foreign-trade/data/index.html

    31. Layers of Collective Action (5.0)

    Compared to many other countries, the United States allows for a collective action voting system, also known as “majority rule.” Local, state, and federal governments all use this system, which allows rational solutions to be voiced and implemented into various large-scale issues. Some examples of large-scale issues that require consistent discussion are: scarcity of resources, government spending, health care, and minimum wage.

    https://www.encyclopedia.com/social-sciences-and-law/economics-business-and-labor/labor/collective-action

    https://fee.org/articles/the-american-system-of-majority-rule/

    32. Pro Business Climate (4.0)

    The freedom to create goods and services to be sold to the public has been the main factor in the economic success of the United States since the Industrial Revolution. However, as mentioned in policy 35, the government continues to involve itself into the business sector. Much of the government's involvement is setting regulations that protect employees, the environment, and hold businesses accountable for their actions. While these regulations protect the health and safety of the public; small business owners often suffer financially due to the inability to allocate funds for these policies.

    https://www.bea.gov/data/gdp/gross-domestic-product

    https://www.uschamber.com/small-business-policy-page

    33. Government Enterprise (4.0)

    Government enterprises can either be partially or fully owned and able to partake in commercial activities. Public utilities such as electricity, water, and railways are normally owned by a monopolized government enterprise. Certain government enterprises can often operate at a loss (such as the U.S. postal service), even though they are a for-profit business entity.

    As of July 2018, the United States had approximately 5% of the labor force (6.6 million) working for government owned enterprises. The second largest economy in the world, China, has over 51,000 government owned enterprises and employs approximately 21.2 million people.

    https://www.investopedia.com/terms/s/soe.asp

    https://www.ifc.org/wps/wcm/connect/0863aaf9-321a-4d10-b60b-155e5fccbbd5/SOE_Fact_Sheet_July2018.pdf?MOD=AJPERES&CVID=msfCu3u

    https://www.oecd.org/industry/ind/Item_6_3_OECD_Korin_Kane.pdf

    34. International Security Agreements (5.0)

    The United States has a number of international security agreements, but the most well known is the North Atlantic Treaty Organization (NATO). This organization was formed in 1949 and is the largest global alliance in the world. As of 2019, NATO is comprised of 29 nations total. This is an example of “collective defense,” which not only plays a large role in the safety of the United States, but in the safety of the other 28 foreign nations as well.

    https://www.defense.gov/explore/story/Article/1650880/what-does-nato-do/

    https://www.nato.int/nato_static_fl2014/assets/pdf/pdf_publications/20190315_sgar2018-en.pdf

    35. Protection of domestic enterprises from government mandated costs (2.5)

    Small scale businesses in the United States suffer greatly from excessive government regulations. When too many regulations are placed onto business owners, many are unable to continue operation. The result of this higher unemployment rates across the country. Small businesses with less than 20 workers make up for 89% of the job market.

    Failing to reduce government mandated costs are forcing more and more small-business owners out of operation each year.

    https://sbecouncil.org/about-us/facts-and-data/

    https://www.emerald.com/insight/content/doi/10.1108/JEPP-11-2015-0034/full/html

    ************************************************************************************************************

    NHI TRAN


    This study presents a detailed study of the economic policies of the United States, as written by Specialist Nhi Tran. The ratings herein are based on the following rating scale:

    RATING SCALE

    5.0 Perfect Facilitation of Wealth Creation
    4.0 Midway between Perfect and Neutral
    3.0 Neutral Effect on Wealth Creation
    2.0 Midway between Neutral and Obstructionist
    1.0 Perfectly Obstructionist to Wealth Creation
    [Rating scale copyright Mike P. McKeever, 2019. Used herein with permission]

    RATING SUMMARY - NHI TRAN 
    
    POLICY NUMBER      RAW SCORE   ADJUSTED SCORE     POSSIBLE  PERCENTAGE
    
            1               5.0          15.0             15.0       100 %
    
            2               5.0          15.0             15.0       100
    
            3               3.0           9.0             15.0        60
    
            4               5.0          15.0             15.0       100
    
            5               5.0          15.0             15.0       100
    
            6               5.0          15.0             15.0       100
    
            7               5.0          15.0             15.0       100
    
            8               3.0           9.0             15.0        60
    
            9               3.0           9.0             15.0        60  
    
            10              5.0          15.0             15.0       100
    
            11              5.0          15.0             15.0        10
    
            12              3.0           6.0             10.0        60
    
            13              5.0          10.0             10.0       100
    
            14              4.0           8.0             10.0        80
    
            15              5.0          10.0             10.0       100
    
            16              3.0           6.0             10.0        60 
    
            17              3.0           6.0             10.0        60
    
            18              5.0          10.0             10.0       100
    
            19              1.0           2.0             10.0        20
    
            20              2.0           4.0             10.0        40
    
            21              5.0          10.0             10.0       100
    
            22              2.0           4.0             10.0        40
    
            23              1.0           2.0             10.0        20      
    
            24              5.0          10.0             10.0       100
    
            25              1.0           2.0             10.0        20
    
            26              2.0           4.0             10.0        40
    
            27              4.0           8.0             10.0        80
    
            28              5.0          10.0             10.0       100
    
            29              4.0           4.0              5.0        90  
    
            30              1.0           1.0              5.0        20
    
            31              5.0           5.0              5.0       100
    
            32              5.0           5.0              5.0       100
    
            33              4.0           4.0              5.0        80 
    
            34              5.0           5.0              5.0       100
    
            35              3.0           3.0              5.0        60
    
       TOTAL              132.0          286.0           370.0        77.3%
                          =====          ======          =====        =====
    
    

    INDIVIDUAL POLICIES - NHI TRAN

    1. Freedom from Internal Control (5.0)

    As far as mobility is concerned, the citizens of America are free to move wherever they please. Article 13 of the Universal Declaration of Human Rights states that a citizen can move, travel, and/or work in any part of the states so long as they do not hinder the right and liberty of other people. It also states that a citizen can move out of the country and return at any time. The U.S. Supreme Court in Crandell v. Nevada has declared the freedom of movement to be a fundamental right, and no state can tax the citizen if she/he chooses to leave that state.

    https://en.wikipedia.org/wiki/Freedom_of_movement_under_United_States_law

    2. Freedom of Speech (5.0)

    Freedom of speech is protected by the first amendment of the United States Constitution. This guarantees that American can express their opinions in any way they want without the fear of government intervention. That being said, there are certain taboo things that one shouldn’t say if they don’t want trouble in their hands. One such thing is threatening the President or other government officials. Even if they might be baseless words, saying “I want to kill the President” can lead to $250,000 maximum fine and 5 years in prison.

    https://en.wikipedia.org/wiki/Threatening_the_President_of_the_United_States

    https://www.history.com/topics/united-states-constitution/first-amendment

    3. Effective, Fair Police Force (3.0)

    In the eyes of the public, America’s police force doesn’t have the best reputation. There has been cases of white police officers shooting black men ‘unjustly’, which has inspired the Black Lives Matter movement. New outlets are all too happy to blow up cases where African Americans like Freddie Gray and Sam Dubose, victims of police brutality, had their lives taken because of trigger-happy police officers. However, the police force, despite how the media paints them, is not the best, but certainly not the worst. A study published in the “Proceedings of the National Academy of Sciences” debunks the connection between race and police shootings. Their findings: White officers are no more likely than Black and Hispanic officers to shoot African American citizens; the police shootings is not determined by the race of the officer but the racial group’s rate of violence. However, that is not to show that unreasonable shootings do not exist, because they do. Besides the black shootings that are blown up by the media, there has been cases of white victims of fatal police shootings too, some of which include a 50-year-old suspect of domestic assault that ran to an officer with a spoon; and a 21-year-old suspect of a robbery who did not remove his hand from his waistband when ordered to do so.

    https://www.nationalreview.com/2019/07/white-cops-dont-commit-more-shootings/

    https://www.cbc.ca/news/world/list-police-related-deaths-usa-1.4438618

    4. Private Property (5.0)

    The 4th and 5th amendment combined protect citizens’ rights to private property. The 4th amendment protects citizens from unreasonable searches and seizures by the government; the 5th amendment protects the citizens’ properties by, one: prohibiting the government from seizing private property without “due process of law”, or fair procedures; and two: setting limits of eminent domain, the right of the government or its agents to seize private property for public use, given that proper compensation is paid.

    https://www.pbs.org/tpt/constitution-usa-peter-sagal/rights/privacy-and-property-rights/

    5. Commercial Banks (5.0)

    A commercial bank is a financial institution that accepts deposits, makes various loans, and offers services like checking and saving accounts to individuals and small businesses. In 2018, there are 4,708 Federal Deposit Insurance Corp. insured commercial banks in the United States. Although the number shrinks year after year, the value of deposits in these banks are growing, adding up to trillions of US dollars. The FDIC insures these deposits up to $250,000, making these banks trust-worthy and attractive to citizens.

    https://www.investopedia.com/terms/c/commercialbank.asp

    https://www.statista.com/statistics/184536/number-of-fdic-insured-us-commercial-bank-institutions/

    6. Communication Systems (5.0)

    The internet is the biggest source of communication, social media being the ultimate source of connection across the globe. As of 2019, there are 265.9 million Americans with smartphones, the number expected to grow to 285.3 million by 2023. That’s over ? of the United States’ population. Even if one does not have the money for a phone, there is a program called Lifeline Assistance, runned by the government, which give low income Americans free phone and inexpensive phone plans.

    https://www.whistleout.com/CellPhones/Guides/free-government-cell-phones

    https://www.statista.com/statistics/201182/forecast-of-smartphone-users-in-the-us/

    7. Transportation (5.0)

    Transportation in the United States can be through air, road, rail, and waterways. There are many alternatives to cars, such as buses, rails, and sometimes, airline services. There is constant construction to make roads include bicycle lanes so that cyclists and skaters have a safer time traveling through roads.

    https://en.wikipedia.org/wiki/Public_transportation_in_the_United_States

    8. Education (3.0)

    In America, students are required to attend school until they are 16 to 18, depending on the state. Despite it being home to world-renowned universities like MIT, Stanford, and Harvard, the US is ranked #24 in Education Rankings by Countries as of 2019. The US also spends, on average, $16k per student--well above the world standard of $10k--but data shows that an average student in the US is one year behind on math compared to the standard. Some reasons behind this are: studies show that 14% of schools in the US exceed capacity, we are still using the same teaching methods as we were decades ago, and more of our schools need to consider year-round schooling.

    https://www.theedadvocate.org/10-reasons-the-u-s-education-system-is-failing/

    https://www.theguardian.com/us-news/2018/sep/07/us-education-spending-finland-south-korea

    9. Social Mobility (3.0)

    The American Dream is about making it from rags to riches with right amount of work, effort, and perseverance. However, recent findings show that the chances of making it from bottom to top are lower in the United States than in other nations. The probability of a child born to parents in the bottom fifth of the income distribution to the top fifth in America is 7.5%. In comparison, Canada’s percentage is 13.5%, nearly twice as much as the U.S. Studies show that there is a strong correlation between the parents’ income and the income their children would have in the future. While a college education reduce than correlation, studies also show that getting a college education strongly depends on the parents’ income, too.

    https://www.brookings.edu/blog/social-mobility-memos/2018/01/11/raj-chetty-in-14-charts-big-findings-on-opportunity-and-mobility-we-should-know/

    10. Share of All Jobs in Small Businesses (5.0)

    Small businesses account for 99.9% of all the United States’ businesses. Altogether, there are about 58.9 million small business employees, which account for 47.5% of all the United States’ employees.

    https://www.sba.gov/sites/default/files/advocacy/2018-Small-Business-Profiles-All.pdf

    11. Freedom from Outside Control (5.0)

    Ever since the creation of the Declaration of Independence in 1776, the United States has been free from any outside control. As the most powerful country in the world, dominant in economic and military power, America is strong enough to fight against any threats to its freedom. Any outside law or control will not stand in a country whose backbone is its own Constitution and Bill of Rights.

    https://en.wikipedia.org/wiki/United_States_Declaration_of_Independence

    https://www.businessinsider.com/most-powerful-countries-ranked-us-news-and-world-report-2019-2#1-united-states-25

    12. Protection of Domestic Enterprises (3.0)

    The United States has 14 free trade agreements with 20 other countries, and is currently negotiating for more with others. The North American Free Trade Agreement, consisting of the United States, Canada, and Mexico, boosted economic growth, profits, and jobs for all three countries. The trade between these three quadrupled from $297 billion to $1.23 trillion between 1993 and 2018. Despite the benefits of trade, however, the trade deficit in the United States was still $891 billion in 2018. Many factories and job opportunities were lost because of imports, which was why so many Americans supported Trump in the 2016 election when he said he was going to bring jobs back.

    https://2016.export.gov/FTA/index.asp

    https://www.thebalance.com/advantages-of-nafta-3306271

    13. Foreign Currency Transactions (5.0)

    While the use of foreign currency isn’t forbidden in the United States, it is highly impractical. In most, if not all, transactions, it is extremely difficult to exchange something other than the dollar. All bank accounts and cards are denominated in dollars, so an ordinary person will find it impossible to open an account with other currencies.

    https://mises.org/wire/use-us-dollars-mandatory-united-states

    14. Border Control (4.0)

    With the number of border patrol agents increasing by year, the US border continues to grow more secure. Border crossing has decreased in recent years; the number of apprehensions along the Southwest border was fewer than 304,000 in 2017, the lowest it has been since fiscal year 1971. While there has been an increase of apprehensions in 2018 and 2019, the number is still far below the amount recorded in the 2000s. Despite the efforts, however, billions of dollars of drugs are smuggled into the border each year, their presence having a correlation with the increasing overdose of drugs in America.

    https://immigrationforum.org/article/border-security-along-the-southwest-border-fact-sheet/

    https://drugabuse.com/featured/drug-trafficking-across-borders/

    15. Currency (5.0)

    The official currency of America is the U.S. Dollar, the most powerful, and easily the most traded, currency in the world. As of 2019, it makes up 61% of the central bank foreign exchange reserves. About 90% of forex trading involves the dollar. In comparison, the runner-up currency is the euro, which is 30% of forex trading. With how strong the dollar is, no other currency can replace it in the US economy.

    https://www.investopedia.com/articles/forex/11/popular-currencies-and-why-theyre-traded.asp

    https://www.thebalance.com/world-currency-3305931

    16. Cultural, Language Homogeneity (3.0)

    On the list of countries ranked by ethnic and cultural diversity level, America is #85. Whites make up 76.5% of the population, followed by 18.3% Hispanics or Latinos, 13.4% Blacks, and so on. Although the United States is a very multicultural country, there are minority groups in the country that are, unfortunately, still subjected to discrimination. Since the 9/11 terrorists attacks, and the ones that followed after, Islamophobia has increased to the point where Muslims became targets of assault and harassment. It has gotten better in recent years, but a lot of people still harbour distrust towards Muslims.

    https://en.wikipedia.org/wiki/List_of_countries_ranked_by_ethnic_and_cultural_diversity_level

    https://www.internations.org/usa-expats/guide/29460-safety-security/racism-and-discrimination-in-the-us-16290

    17. Political Effectiveness (3.0)

    While not perfect, the government does its best to help its people through crises. For example, there are many financial assistance programs for families after natural disasters, such as the D-SNAP, which helps with food costs. However, on the other hand, the government, or the Trump Administration, is threatening to cut funding for the California wildfire relief programs. There are times when the government is effective, but there are other times when it fails to provide relief to its people.

    https://www.usa.gov/disaster-financial-help

    https://www.cnbc.com/2019/01/09/trump-threatens-to-cut-off-federal-funding-for-california-wildfire-relief.html

    18. Institutional Stability (5.0)

    The heart of America lies within its constitution. Effective since 1789, the United States Constitution is behind the operation of the country’s government, laws, school, businesses, and etc. There have been 27 amendments to the constitution, the most recent one happening in 1992. Besides that, the words remain the same, leading to a stable country.

    https://www.pewresearch.org/fact-tank/2019/04/30/shrinking-gap-between-number-of-blacks-and-whites-in-prison/

    19. Honest Government (1.0)

    According to the Pew Research Center, 75% of Americans believe that the people’s trust in the government is shrinking. Politicians are infamous for being corrupt and dishonest. In the 2016 election, dirt was dug from our two main presidential candidate: Hilary for her emails, and Trump for his supposed collusion with Russia. With how much corruption these two were exposed for, many Americans had lost hope in the government.

    https://www.pewresearch.org/fact-tank/2019/07/22/key-findings-about-americans-declining-trust-in-government-and-each-other/

    https://theweek.com/articles/770962/astonishing-corruption-american-democracy

    20. Common Laws (2.0)

    Although the United States is said to be the “land of the free”, where all people are equal, discrimination and racism still exists despite the steps of progress we’ve taken. According to the United States Sentencing Commission, black men who commit the same crime as white men receive prison sentences that are, on average, 20% longer. They are more likely to be treated disrespectfully by the police, and are more likely to get shot during confrontations. Lately, however, studies from the Pew Research Center show that the gap between the number of black and white people in prison is shrinking. Although not by much, we are steadily reaching the line of equality and fairness.

    https://www.ussc.gov/sites/default/files/pdf/research-and-publications/research-publications/2017/20171114_Demographics.pdf

    https://www.pewresearch.org/fact-tank/2019/04/30/shrinking-gap-between-number-of-blacks-and-whites-in-prison/

    21. Central Bank (5.0)

    Founded by Congress in 1913, the Federal Reserve System is the central bank of the United States. Some of its responsibilities include influencing the supply of money and credit, regulating and supervising financial institutions, and supplying payment services to the public. Being a privately owned bank, it is independent of political control. Its primary focus is on the stability of money in the economy.

    https://www.federalreserve.gov/aboutthefed/pf.htm

    https://www.kansascityfed.org/aboutus/federalreservesystem

    22. Domestic Budget Management (2.0)

    With a government spending of $4.75 trillion in comparison to its revenue of $3.65 trillion, the United States’ federal budget deficit for the fiscal year 2020 is $1.1 trillion, 1% greater than last year and the largest deficit since 2012. While a budget deficit can make the economy stronger in moderation, consistently increasing the deficit adds to the national debt and can lose investors’ trust. America has been steadily increasing its budget deficit over the years, and that can cause the economy to weaken.

    https://www.thebalance.com/current-u-s-federal-budget-deficit-3305783

    23. Government Debt (1.0)

    As of 2019, the United States has a national debt of $19.23 trillion, which is equivalent to 106.1% of its Gross Domestic Product (GDP). Generally, the percentage of government debt to its GDP is used by investors as a measure of a country’s ability to pay off its debt, so it affects the US’ ability to borrow money and the yield of its government bonds. Having such a high national debt to GDP will hurt the US economy in the long term.

    http://worldpopulationreview.com/countries/countries-by-national-debt

    https://tradingeconomics.com/united-states/government-debt-to-gdp

    24. Economic Statistics (5.0)

    The US Census Bureau collects an Economic Census every five years to lay an understanding of the American Economy to businesses. The census is taken very seriously; response is required by law. These statistics are used as a basis for key measures of economic activities, such as Gross Domestic Product (GDP), National Income and Product Accounts (NIPAs), and Producer Price Index (PPI). The census is also important to individual businesses as they use this data to make business decisions.

    https://www.census.gov/programs-surveys/economic-census/about.html

    25. Protection of Public Health & Safety (1.0)

    According to the 2018 America’s Health Rankings Annual Report, the United States has a higher infant mortality rate compared to the other countries in the Organization for Economic Cooperation and Development (OECD). With an infant mortality rate of 5.9 deaths per 1,000 live infant births, America ranks #33 out of 36 countries. Another concerning factor is the rising prevalence of obesity in the states. The percentage of population with obesity rose by 13% since 2012, and in 2018, nearly a third of the population is obese, making the US the most obese nation in the world.

    https://www.americashealthrankings.org/learn/reports/2018-annual-report/findings-international-comparison

    26. High Wage Policy (2.0)

    Although the minimum wage differs depending on the state, the current federal minimum wage is $7.25. This is a problem as many families and workers only make ends meet to survive. With $7.25/hour, full-time employees earn about $15,000 annually, placing them well below the poverty line of $23,850. Many working-class people can barely pay their monthly rent, let alone afford to buy consumer goods.

    https://www.investopedia.com/articles/personal-finance/022615/can-family-survive-us-minimum-wage.asp

    27. Environmental Protection (4.0)

    The United States Environmental Protection Agency (EPA) is a federal government agency whose aim is to protect humans and the environment. Being the first national government agency of its kind, the EPA’s effectiveness in setting policies and enforcing laws inspired many other countries to establish their own government agencies. An early example of the legislation it properly oversaw is the Clean Air Act, which prevented 200,000 premature deaths and 18 million cases of respiratory illness in children. Other examples include: banning the use of pesticide DDT, which was killing Bald Eagles and other birds and threatening public health; getting lead out of gasoline; regulating toxic chemicals.

    https://earthjustice.org/features/campaigns/a-success-story-with-many-chapters-still-to-come

    https://www.scientificamerican.com/article/the-epa-first-40-years/

    28. Strong Army (5.0)

    The United States has one of the best, if not the best, military in the world. It spends $623 billion, or 3.5% of its GDP, on defense. To put that number in perspective, the United States spends more than the next seven countries (China, Saudi Arabia, India, France, Russia, the United Kingdom, and Germany) combined. The reason for this large spending is because of America’s worldwide commitments in protecting its allies in Europe, Asia, and the Middle East, as well as its people.

    https://www.cnn.com/2018/07/11/politics/trump-defense-spending/index.html

    https://sites.duke.edu/lawfire/2016/06/30/no-we-are-not-spending-as-much-on-our-military-as-all-other-countries-combined-and-other-facts-about-the-defense-budget-you-should-know/

    29. Foreign Trade Impact (4.0)

    In 2018, the United States traded $1.7 trillion in exports and $2.5 trillion in imports. Since the total GDP in 2018 is $20.5 trillion, trade makes up for over 20% of GDP. The US’ GDP is among the highest in the world. Although it benefits from trade, it certainly does not rely heavily on it.

    https://www.census.gov/foreign-trade/balance/c0004.html#2017

    https://en.wikipedia.org/wiki/Economy_of_the_United_States

    30. Management of Foreign Currency Budget (1.0)

    With $3.1 trillion in imports and only $2.5 trillion in exports, the United States’ trade deficit is $621 billion in 2018, the largest in the world. This trade imbalance subtracts from GDP, making the economy less efficient. One of the reasons for this trade deficit is the value of the dollar; a strong dollar makes imports cheaper and exports more expensive. Furthermore, the United States only has $126 billion in foreign exchange reserves, a stark contrast to China’s $3 trillion.

    https://www.thebalance.com/trade-deficit-by-county-3306264

    31. Layers of Collective Action (5.0)

    As a country founded on Democracy, the United States is formed by the people for the people. Leaders are chosen based on the majority vote; there is no central power that dictates how the country should be run. The constitutional system consists of three branches: Legislative, Judicial, and Executive. Together, these three branches have checks and balances to make sure no one branch is more powerful than the other. The decisions are based on the collective, and the decision-makers are selected based on the collective power of the citizens. Even so, there is still power reserved for the states to make their own laws. While the central government is the basis for any decision making, the local government has the power to establish and maintain schools, regulate trade within the state, conduct elections, and provide for general safety.

    https://www.usa.gov/election

    https://www.usconstitution.net/consttop_cnb.html

    https://en.wikipedia.org/wiki/Local_government_in_the_United_States

    32. Pro-Business Climate (5.0)

    Starting from an early age, citizens of America are expected to contribute to the economy. Compulsory Education Laws require children to attend school until a certain age. The government encourages students to continue going to school by providing help, such as grants and financial aid. While there are many reasons to get an education, the primary objective is to get out of school with the qualifications necessary to enter the labor force. Once out, graduates are provided with many recourses to start their own business, one of which includes the fundings from the U.S. Small Business Administration. Society’s views on those who don’t contribute to the workforce are very low; the higher one gets in their job and education, the more respect one would receive from their peers.

    https://education.findlaw.com/education-options/compulsory-education-laws-background.html

    https://www.sba.gov/funding-programs/grants

    33. Government Enterprises (4.0)

    The federal government subsidizes a variety of businesses it believes will better the economy. In 2019, the current government spending is $4.746 trillion, 38% of GDP. Farm subsidies aid farmers, and in return provide the country with food; export subsidies help American farmers compete with other countries’ subsidized exports; housing subsidies support the construction industry and assist homeowners. Although some would rather the government allow the market to balance itself out, there is no denying that these interventions help a portion of both businesses and consumers.

    https://www.thebalance.com/government-subsidies-definition-farm-oil-export-etc-3305788

    https://tradingeconomics.com/united-states/government-spending-to-gdp

    34. International Security Agreements (5.0)

    To secure its international safety, the United States has many collective defense agreements under its belt. Among them is the North Atlantic Treaty, which states that if an armed force attacks one or more countries under this treaty in Europe or North America, each party will assist the attacked by any actions deemed necessary. Treaties like this are the Rio Treaty, the Southeast Asia Treaty, and the Japanese Treaty.

    https://2009-2017.state.gov/s/l/treaty/collectivedefense//index.htm

    35. Protection of Domestic Enterprises from Government-Mandated Costs (3.0)

    In America, government regulation alone costs over $46 billion a year. On one side, it can be harmful to the thousands of small businesses that find it difficult to comply with those strict regulations. Government agencies such as the Food and Drug Administration and the Environmental Protection Agency require regulations that can be costly to businesses. On the flip side, there are equally as many programs that benefit businesses, particularly the Small Business Administration, which lends out loans for starting companies.

    https://www.investopedia.com/articles/economics/11/government-regulations.asp

    https://www.thoughtco.com/costs-and-benefits-of-government-regulations-4068946

    ************************************************************************************************* *************************************************************************************************

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    All the information and conclusions in each country analysis are solely the responsibility of the individual student and have not been verified, corrected, checked for copyright infringement or evaluated in any way by MIEPA or Mike P. McKeever. You are solely responsible for the results of any use you make of the information and conclusions in these studies. Use them at your own risk as interesting supplemental information only instead of seasoned judgements about the policy factors contained herein. Each student has granted permission for his or her work to be displayed here under his or her own name or wishes to remain anonymous and have either created a pen name or used no name at all; if you wish to contact them for any reason, forward your request to MIEPA and the student will be notified of your interest.

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    Introduction and Policy Recommendations

    Winning Essays: There Are Alternatives Project (TAA)

    Essay: Balanced Trade: Toward the Future of Economics

    Moral Economics

    McKEEVER INSTITUTE of ECONOMIC POLICY ANALYSIS

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