The Trans Pacific Partnership Essay

806 Words Oct 9th, 2015 4 Pages
One of the greatest troubles in the United States economy is an excess of imports and a lack of exports. Since 2010 the United States, along with eleven other foreign countries including Japan, Mexico, Chile, Vietnam, and Australia, have taken part in negotiations to work towards the formation of the Trans-Pacific Partnership. This trade agreement was negotiated in order to remove trade barriers and facilitate international trade. It is also meant to put regulations in place to protect small businesses by strengthening intellectual property laws. In addition, it is estimated that in the United States alone over 650,000 jobs could be created (The New York Times). Companies will soon have new markets to sell in which would increase GDP and the demand for labor, resulting in an increase in both employment and the real wage. The United States and the other participants make up 40% of global GDP so if the trade agreement were to be ratified the ripple effect would not only increase economic well-being in the United States but also throughout the world.
An entire chapter of the treaty is dedicated to regulations affecting small businesses. Small businesses make up a large part of the economy but less than 5% export their goods to foreign markets because trade barriers and tariffs prevent it from being a viable option. The Trans-Pacific Partnership would allow small businesses to export their goods, which would then allow them to expand and hire more workers, increasing employment…

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