Economics of International Finance(choosing a country) Essay

Economics of International Finance(choosing a country) - Essay Example The reason for choosing the US is the ready availability of data for this study, the reliability of the data collected. The sample size of the data collected was sufficient and realistic, hence, suitable for testing the hypotheses of this study. The report will be presented in an analytical and descriptive structure containing the summaries and analysis of the economic variables. The report thus gives recommendation of actions because of economic management policies that had projected economic growth of the debts of US to approximately US$ 430 Billion in the subsequent five years (Cohen 2007, p76). The ultimate purpose of the economy is to do cost and benefit analysis of the US, showing a roadmap to cost balancing between the exports and the imports in alignment with the US economic policies. There are four study questions, which this study intends to investigate. Using the economic variables, this study investigates whether there is any effect of consumer product demands on the consumer prices or not. It is hypothesized that there is a positive relationship between the two variables. Secondly, it investigates the trend of the consumer demands and consumer price index from the year 1994 to 2013. The hypothesis is that consumer demand decreases with the increase the rate of unemployment in the US. The third research question is to investigate the relationship that exists between the import and export, the hypothesis is that the more the export, the more the import volumes. The fourth study question is to investigate the relationship that exist between the unemployment level and the GDP, as well as the relationship between unemployment and the rate of economic inflation in the US. The hypothesis is that the level of unemployment negatively affects the percentage of GDP in the US economy. One of the economic reports and national survey of the US economy shows the objectives of the government to