Anonymous asked in Social ScienceEconomics · 1 month ago

How come the average American can afford a lifestyle better than pretty much any other country?

How is America getting so much money to do everything they do? whats the big export that is making them so rich? and how come other nations with huge exports are so poor?

Is America borowing too much money? are they headed towards an economic depression some day?

5 Answers

  • Anonymous
    1 month ago

    There are many countries where citizens have a better lifestyle than America based on a much better income.  China and Japan have monstrous exports and they are not poor.  The America today is not the America of twenty-five years ago.  Not even close.  Aside from Americans who truly need help with food, shelter and medical, America borrows trainloads of money from Japan and China just to hand out to people who would rather get welfare than a job.  The annual interest on all that foreign money will soon be the largest line item in the federal budget.  The national debt of America and all its future obligations like social security, medicare and retirements totals $180 Trillion dollars.  The entire worth of the whole world is $240 Trillion.  Does that answer your question about our future?  Don't worry about your Senators and Representatives.  They have stolen countless millions and will be OK.

  • ?
    Lv 7
    1 month ago

    First, there are a number of other countries where people have a very good lifestyle. In fact, there are countries where the lifestyle is more even, and there isn't such a big gap between rich and poor- countries like Japan, Canada, the Scandanavian countries, Germany, France, etc.

    Now, as to exports, two of the biggest are military equipment and entertainment. The US has put a lot of money into military research and innovation, and the products are in big demand around the world. But many people are not aware that we export almost as much (dollar value) in entertainment= music, movies, tv shows. I've flown thousands of miles only to get off the plane and hear Britney Spears or Taylor Swift. Everyone knows US movies, and somewhere in the world, Friends is playing on the TV at any given moment. Capitalism has led to both results- the development of some of the best products in the world AND the unfortunate gap between the rich and the poor. 

  • Kerri
    Lv 4
    1 month ago

    Average Americans (lower middle class, two income family making less than $70,000 yearly as a family unit)  can have pretty good lifestyle because American jobs are so diverse. An American has many options that make it easier to have enough income to provide for a nice home, vehicle, vacations and full pantries/fridges. America exports many many different products/services (food, cars, steel, milk, pharmaceuticals, clothing, wood, silver, gold, cotton, cattle, liquor/beer, movies/tv shows, computer components, financials, oil, natural gas, chemicals, military, ammunition, baseball bats, fabric, and on and on and on) and all these different export avenues require/hire/employee people to work jobs. In America it is possible to find any job doing just about anything that interests you if you want it bad enough (go to college, live in the state that has the jobs in your area of expertise/desire to hire, etc). By not relying heavily on only one or two exports in a country (few exports leads to too few jobs and a glut of people with the same qualifications all fighting for too few jobs), America drives the ability of regular income earners to live good lives. And living decently doesn’t mean it’s perfect or easy. It often takes meticulous budgeting and juggling in order to create and cultivate that fine line between living pretty good and definitely praying you have no medical or financial emergency in the future that tip the balance and see a family destitute/homeless in a matter or weeks or months never to return to good life. Yes America has and does borrow too much money  and yes economic depression can and has destroyed American way of life more than once in its past and is always a looming future threat. As to why other big exporting countries not doing as well, that could be for many reasons such as exporting too few things or exporting things that become obsolete or because their leaders mismanage the import/export process leading to dissolution of trade treaties, constant in country warring, to name a few. America has a massive, efficient and deadly military that protects the American way of life that will always secure America’s place on the world stage as a desirable trade partner. And it’s always easier to have a good life if one lives in a free as democratic first world nation,

  • Anonymous
    1 month ago

    Good question. 

    In a word, capitalism. 

    Capital means the produced means of production. In order to produce with any capital good, even a stone axe, man has to delay his gratfication. 

    So for *any* wealth to exist, above the level of hand-to-mouth subsistence requires capital, which is responsible for all mankind's living richer than the other animals. 

    ALL the wealth that the average American can afford, is *necessarily* because of the accumulation of capital. 

    And capital is the name for how much the productive goods would sell for, expressed in money. 

    How is America is getting so much money to do everything they do?

    Money in the narrow sense means actual dollar notes. Money in the broad sense means all financial transaction, and all the physical wealth it commands. 

    They are getting the physical wealth - i.e. all of America's capital - from processes which require and presume private ownership of capita.

    The first principles of economics distinguish between two basic ways of acquiring wealth: the economic, and the political. That's why it's also called political economy. The economic means is by homesteading unclaimed natural resources, to produce goods with them using one's own property or labour, and the voluntary exchange of goods and services. Capital means the produced means of production; and capitalism means the private ownership and control of the means of production. Much of America's wealth comes from the history of such private capital to the present moment. The effect of capital is to increase productivity: more goods for the same cost, or the same goods for lesser cost. The effect is to make more outputs for given inputs. The effect is to increase wealth across society as a whole, and to make everyone richer. Why America? Because America inherited a framework of laws based on English law *before* the first English settlement in America. Both America and England share in common the law before that. So they both received from our common ancestors, such law as freehold, sovereignty, allegiance, fidelity, leasehold, contract, tort, equity, trusts, presumption of innocence, writs against governmental error, constitutions of government, rule of law, prerogatives of the Crown - the foundation of the entire edifice of modern statehood and international statehood. These institutions protect and enable the growth of private property by VOLUNTARY means only, because transactions based on aggression or fraud are illegal at the ommon law which all the English-descended whitefeller states On that voluntary basis, lies the whole ethos and praxis of capitalism. The second main way of acquiring wealth is by taking someone else's property or labour by force or threat. This includes both the criminal means, and the political means.The state is a legal monopoly of crime. It's basically a gang of criminals, a protection racket, that grew so big it could over-awe tall the other criminal gangs.   Being based on aggression against person and property, it is inherently criminal, and we can expect no less of them than an epidemic of large-scaled crime by the State, which is exactly what we're seeing. Once the state's stranglehold in productive activity extends to a legal monopoly of the issue of money as fiat currency, and of lending money at interest, there is no way to avoid politics being driven by a huge kleptocratic and technocratic class, implicating the entire society, and openly committing enormous crimes, such as war and every kind of sickening open corruption at the highest levels. Which is what we're seeing. The most important by far of all these means, if the Federal Reserve in America, and central banks around the world. The reason is because it gives a government the power to hock the entire population into debt. Basically it acts as a huge vacuum cleaner sucking the wealth and labour and time and life of everyone, all around the planet, who use money. If a sh!thole country, like Zimbabwe, prints money, its reach will be limited by the small demand for the zim dollar. But when the USA prints money, the effect is to take a cut out of the labour of every man and woman around the world. Its reach and rapacity are virtuously infinite. DOLLARS - as in greenbacks, and any fed lending of them - are the export. Since, at the very least, all the countries of the world have to buy fuel in US dollars. What kind of a goodly-sized racket do you think that might be hmm? Thus the US government, by doing what it criminalises as felony for anyone else, can steal the blood out of the veins of the suffering working class, all over the world, at the rate of inflation by mere prerogative of the Crown, the reception of which in English law is the root of American sovereignty, and statehood, with all the implications for private capital of the existence of the American state - the biggest criminal organisation in the history of the world. Why aren't other nations who export much, so rich? Because ... supply and demand. Nations, or anyone, produce a lot of stuff that other people put a low value on, will not get rich like that by comparison with the USA. The capital of the USA is much more complex and productive than a mere rock taken out of the ground. For other nations to be able to benefit as much from America's capital, they need to have minimal standards of property rights. Most of them fail this, compared to the common law heritage which the  British Brits, and the American Brits, have in common. Yes America is spending too much, and yes there's going to be a big depression. The other nations are in earnest to avoid and dethrone the dollar. When it does, America's economy will collapse back down to what it was, if there was no monopoly of money and credit raping and strangling the world's economy. But you can't send the feds to arrest the crooks - they ARE the feds!Both major parties are identical in their support of this. To audit it is out of the question, let alone to abolish it. But America's economy won't only collapse back to what itself can generate without, in effect, taxing and dominating the entire world by inflation and petrodollars. It will also have a depression lower than that, while capital is liquidated and invested in other more productive uses - changing gold taps into tractors, that kinda thang. 

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  • Oiy
    Lv 6
    1 month ago

    We live on credit. Since we can solely print the dollar, the credit is overwhelming. Even when the real wage and productivity has beeb stagnated soice the 1970s, we can still live stylishly. But the debts have tripled.  But don‘t be worried. We have never paid back the debts. And we have never sold our gold reserves.

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