Azeron wrote:USA
GDP $10 trillion
Exports: $776 billion (f.o.b., 2000 est.)
Exports - partners: Canada 23%, Mexico 14%, Japan 8%, UK 5%, Germany 4%, France, Netherlands (2000)
US to EU: $76 Billion
Imports:$1.223 trillion (f.o.b., 2000 est.)
Imports - partners: Canada 19%, Japan 11%, Mexico 11%, China 8%, Germany 5%, UK (about 4%), Taiwan (2000)
EU to US: about $120 Billion
I also might add that countries such as the UK, France and Germany, the imports to the US make up stubstantial part of their export market.
Figure in a economic quantifer of 2 to express the productivity superiority over Europe, and whoola, we end up with a trade multiplier of something like 4 to 1 in favour of the US. In other words for every once of pain europe tries to inflict on us, we can hit them 4 times harder. (sincxe exports are more like a 5th of thier economy, as opposed to 7% in the US, the multiplier is more like 8 but I don;t want to hammer eruope to badly) This is why Europe will never let a serious trade dispute emerge between the the US and EU Thats why we have the WTO, simply a euro idea to balkanize the world to manipulate the US.
this is cold hard fact. You euros might not like it, but too bad. Reality is a hard place to live in.
http://www.cia.gov/cia/publications/factbook/index.html
I wonder why people asume that europe has a strong economy. 50 years of extremely poor fiscal policy has made europe impodent in trading terms. It simply doesn;t. I would sooner invest in Cuba than the EU.
Which hardly counteracts my point. I have been over this argument before, and though the US has a marginal advantage in terms of dependance over Eu nations, it is hardly massive, especially when you consider dependance on direct investment which goes in quite the opposite direction and in a far greater magnitude. Consider the 2001 slump; the US slumped far further than the EU nations on average largely because it was more dependant on European investment, which had just been pulled from beneath it.
Furthermore consider the vital nature of many EU exports to the US, such as industrial engines that could not be done without, and you begin to see my point that not only is the import-export dependancy gap far smaller than you would think; factor in invesment dependancy and the US finds itself on far
more of a knife-edge.
But why simply speak? Here are some links:
http://www.eurunion.org/profile/facts.htm
If you look at the above, you will find your posted 'facts' erroneous in the extreme. The EU's dependance on exports as a percentage of GDP is a mere 10.9% in 2000, not the 1/5th you claim.
Furthermore your source, the CIA 'world factbook' is hardly the best. Considering it finds it difficult to get accurate GDP statistics right, I am disinclined to trust it.
Here is the Eurostat statistical office, which gives data of a far more accurate and detailed degree:
http://europa.eu.int/comm/eurostat/Publ ... e=Eurostat
Much of the statistical information is to be paid for, but statistics from a couple of years back are available in PDF format. I have seen some startling contradictions with the world factbook, which I have duly lost faith in.
But back to the trade dependance issue. Consider that in 2000 the US showed a $50 billion advantage in trade dependancy of exports over the EU, it displayed (in the other direction) a dependance on EU direct investment which was
over $200 billion in excess of the EU dependance on US direct investment. As a result, we see the way the US economy fell much more drastically than the EU average economy in the 2001 slump when this investment was pulled from under it.
And furthermore, your 'productivity superiority' is shite. This is something you have pulled out of your arse. Consider your 'productive' steel industry, which now requires protectionist economic policy to keep it alive aganst Asian and European competition, each boasting far greater efficiency.
Now look at the slump in economic growth in 2001 where the US fared decidedly worse than the EU.
And look at an actual example of cross-Atlantic trade war; the 'wheat wars' of the 80s. The advantage went to European businesses over that.
For a continent which is supposedly 'impotent' in trading terms, we seem to have beaten you in one trade war already and fared better in the most recent economic slump.
Pull your head out of your rear and look at those facts, matey.