WEALTH

• What is wealth in regard to the economy?

• What are the primary sources of wealth?

• What influences the wealth in the USA?

Have you ever driven by an area that only had a gas station / convenience store, a motel and a few houses and wonder why they were their?

They were probably there because the major employer in that town went out of business because the products they produced were outsource to another country. When the business was gone were the jobs and the money flowing in from other places.

If the land was turned into farms and ranches that sold their products around the county, state or the country there would be jobs created and those jobs would help create the need for services but not many jobs would be created.

What is wealth in regard to the economy?

What is wealth in regard to the economy?

Creation of wealth is bringing money into an area from outside of that area, an area can be a town or city or a county or a state or a country.

A area can not survive with a pure service economy, money is constantly leaving an area when retailers order products, pay taxes and many other transactions, as the money is drained

What happens next is influenced by the level of the area, the state and federal governments and in some cases the price of gasoline.

At the local level there’s a variety of sources of wealth, wealth can be produced by anything from tourism to a military base. The larger the population the more money must come into that area; the state level is the same except more businesses.

The country is different, the only sources of wealth is in the private sector, there are only three primary sources of wealth for a country, they are:

1. Agriculture – exporting food products

2. Mining - which includes exporting oil and gas

3. Manufacturing – for export

What are the primary sources of wealth?

What influences the wealth in the USA?

When we import more than we export the country loses wealth, printing more money increases the number of dollars in the country but lowers the value of each dollar to keep the total value the same, this is called inflation.

Imports

Exports

Wealth

What influences the wealth in the USA?

When we export more than we import the country gains wealth, we do not printing more money and the total value of the dollars increases which increases the country's wealth

Imports

Exports

Wealth

What influences the wealth in the USA?

Things that make it difficult to compete with other countries.

• Corporate are the highest in the developed world, which increased product cost

• To many costly and unnecessary regulations which increased product cost

• There is no accountability in government, you have to wait until the next election and hop enough people will vote them out. Unfortunately the incumbent usually gets reelected because too many voters have no idea how the candidate has voted or done for them.

To High To Many Lack Of

CorporateTaxes

Regulations Accountability

Government Influences

What influences the wealth in the USA?

• China and other countries that allow companies to sell pirated software.

• Companies that steal our patents or reverse engineer our products and sell the products to other countries for less than we can.

• Companies that ship their products to a country we have trade agreements with to avoid import taxes

Other Influences

• The Global Economy influences our wealth because of an increase or decrease in exports.

• Wars around the world influences our wealth because of an increase or decrease in exports arms sales of giveaway.