Trading with China

When we hear anything about China we automatically think about our trade relationship with them.  And with that thought we wonder if trade with China is good or bad.  The real answer is both.  On one hand trade with China makes our lives better because they provide cheap goods.  But on the other hand Trade in China is bad because it puts some Americans out of jobs. In this post I will be showing the pros and cons of trade with China.

The simplest pro to trading with China is that we export over 55 billion dollars in goods and services to China each year.  This allows us to supply more jobs and increase the amount of money going into our counrty.  We export electrical equipment, airplanes, and other goods to China which gives us a new market to trade in.  China imports goods like footware so that instead of paying 150 dollars for a pair of shoes made in the USA we can pay 50 dollars for a pair made in China.  China is usually the country where most US goods are assembled, which makes these goods a lot cheaper.  And even though China manufactures a lot of goods the US still manufactures more then 2 times more then China, according to the US department of treasury.  Also when we have international trade the US can give humanitarian aid easier.  So The main pros for trade is cheaper produucts and some money in exports.

The cons to some are much greater.  The main con is the trade deficet where China exports 287 dollars to the US, but the US only exports 55 billion dollars.  Another con is that when the US loses many jobs when trading with China.  Also many US jobs are being outsourced to China.  Another con is that the US government owes money to China which it is always a bad thing to be a debter.

In my opinion trade with China is not that bad.  I say this because if we didn't trade with China most of our goods would be more expensive and that would make our average standard of living lower.

College Saving

http://articles.moneycentral.msn.com/CollegeAndFamily/SavingForCollege/Your5MinuteGuideToSavingForCollege.aspx

This link shows the keys too saving for college.
Most of them are simple and easy to follow but I am making a condensed list to show how easy it is to raise money for college which could cost around $105,000!!
Here are my ten points for saving money for college:

1) Start early-the sooner you start saving the more you will accumulate in the end

2) Make sure that you are saving enough-Use this link to calculate theamount of money needed http://moneycentral.msn.com/personal-finance/calculators/Tuition_Savings_Calculator/home.aspx

3) Apply for scholarships-There are thousands of scholarships out there and the only thing you lose from apply is your time.

4) Do well in high school-This sounds like a no brainer, but many people do not know that a high GPA can trim hundreds of dollars off their college debt

5) Collect and invest graduation gifts- This may seem insignificant but can evenutally end up being worth $1000 or more

6) Join the military-or an ROTC program and have the government pay for college

7) Invest that little extra into a savings account for your child's college fund

8) Jobs- Don't feel like the parent has to pay for all of college most college students pay for college themselves after freshman year

9) Honor Roll-Many colleges give special privlages or cheaper tuition to students with high GPAs

10) Pass college and don't procrastinate-Paying for college is almost idiotic if you never get a degree or wait 6 years too

First Post!!

I'm not going to have an actual economic topic today because there is a higher marginal benefit for catching up on sleep then creating a real post