Sinche: Three Factors Working Against Manufacturing

The video discusses the similarities between Germany and the US in terms of manufacturing trends, highlighting the decline in manufacturing jobs due to a shift towards a services economy, increased productivity, and competition from developing countries. It also explores the impact of currency fluctuations, particularly the US dollar and Mexican peso, on trade and investment decisions. The video further examines Mexico's economic challenges under the Trump administration, emphasizing the difficulties faced by Mexico in adapting to new US policies and the weakening of its currency.

What are the three main factors affecting the manufacturing sector in developed countries?

• Trade wars, political instability, currency fluctuations

• Lack of skilled labor, outdated technology, high taxes

• High labor costs, lack of innovation, environmental regulations

• Shift to a services economy, increased productivity, competition from developing countries

How does a strong US dollar affect trade with Mexico?

• It benefits Mexican exporters and US importers

• It benefits US exporters and Mexican importers

• It has no impact on trade between the two countries

• It only affects the tourism industry

What is one of the pressures faced by companies due to currency fluctuations?

• To expand into new markets

• To reduce their production costs

• To make non-economic decisions

• To increase their workforce

Why is Mexico in a difficult situation under the Trump administration?

• Because of increased trade tariffs with Canada

• Due to a weakening currency and focus on economic and security issues

• Due to a lack of natural resources

• Because of a strong alliance with European countries

How is Canada responding to the economic focus of the Trump administration?

• By increasing trade with Mexico

• By imposing tariffs on US goods

• By staying under the radar and not being at the forefront

• By forming new alliances with Asian countries