The Impact of Crisis on the Export Oriented Manufacturing in the United States

Abstract

The study concentrates not only on the self-indulgence of the financial sector of the United States in conducting business, but what wrong it did to the export oriented manufacturing sector in the United States of America. The use of Constant Share Market analysis of change in United States exports proved to be fruitful. The results were astonishing, the change in exports due to commodity composition and market distribution was found to be negative, which means that the change was less than expected. One of the reasons for this has been attributed to the blind eye of Financial Institutions towards investment opportunities in the manufacturing sector, more precisely the small and medium size enterprises (SME) in the United States, who have a wide range of market access compared with the large enterprises. It is a tested fact that to expand a strong footing is a must, and a strong manufacturing sector gives much required robustness for the services to expand. Thus, rapt study of this sector for attracting investments by financial institutions coupled with more trade friendly policy implementation would bring the land of opportunities, the United States, economy back on track.