The global economy refers to the interconnected economic activities and relationships that exist among countries worldwide. It encompasses the trade of goods and services, international investment, foreign exchange, and the flow of capital and labor across borders. The global economy is influenced by various factors, including technological advancements, international regulations, economic policies, and geopolitical factors. It is characterized by the integration of national economies through globalization, which enhances interdependence among nations. This interdependence can lead to shared benefits, such as increased market opportunities and economic growth, but can also result in challenges like economic volatility, inequality, and the spread of financial crises. The global economy affects domestic economies, influencing job markets, production, consumer behavior, and overall economic stability.
The United States enforces stricter regulations on AI chip exports to protect national security and maintain technological leadership. These measures could hinder innovation and risk alienating allied nations seeking technological…