What effect on the US Economy do Citizens have by buying American
Question: What would be the effect on the US economy if Americans increased their buying United States products and services instead of foreign products and services?
Assumption: Assume the US citizens were to buy 10% more US products and services instead of foreign goods and services. Lets also assume, for this exercise, that all other impacts on the economy, based on this new activity, would be minimal.
Calculating the answer:
Under the heading "Understanding this United States" go to "United States Personal Consumption". Here you will find how citizens spend their money. The categories where you have a choice between buying foreign or American goods represents about $1,800 billion out of the total of $9,224.5 billion in 2006. For this exercise, you can choose your our categories to create your total amount.
10% of $1,800 is $180 billion. This effect would be comparable to the the 2008 Tax Rebate Program.