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How Much Do We Spend on Imports?
Report

How Much Do We Spend on Imports?

FRBSF, 2019

автоматическое преобразование текста в аудио
автоматическое преобразование текста в аудио

Editorial Rating

9

Qualities

  • Analytical
  • Eye Opening
  • Hot Topic

Recommendation

The politics of trade is under the microscope today, but most people don't grasp how changes in one aspect of trade can reverberate throughout an economy.  This enlightening examination from economists Galina Hale, Bart Hobijn, Fernanda Nechio and Doris Wilson of what goes into the cost of imports has important implications for US trade policy. Their rigorous and granular analysis will help to inform the debate among economists and policy experts.

Take-Aways

  • Despite globalization, most of the goods and services sold in the United States are produced within its borders.
  • When an American buys an imported product, like Chinese-made Nike shoes for $100, only $25 goes to the foreign manufacturer.
  • If you spend $30,000 for an American-made Jeep Patriot SUV, $5,100 of the price pays for imported parts. 

About the Authors

Galina Hale, Fernanda Nechio and Doris Wilson are researchers with the Federal Reserve Bank of San Francisco. Bart Hobijn is a professor at Arizona State University. 


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