Disadvantages Of NAFTA In Canada

The North American Free Trade Agreement (NAFTA), is an agreement signed by Canada, Mexico, and United States which advocates free trade. If successful, the agreement promised to make the whole North American continent an economic zone. This was the agreement if the world’s largest free trade relationship. It was then passed in 1944 and brought many benefits to three countries, epically Canada. When NAFTA initiated it set out for free trade to North America but Canada Benefitted greatly. Frist being NAFTA made cheaper prices and variety of products for products for consumers. NAFTA also has had an effect on employment and wages. Finally, NAFTA has helped to benefit in Canadas economy. Canada has benefitted greatly with the initiation of NAFTA.

With the initiation of NAFTA, it had opened up doors for a lot of companies and business, also causing the prices of products to be lowered and how we have saved money from NAFTA. Firstly, Canadian companies took advantage and produced more for less. In 1998, the three-way trade among Canada, Mexico and the United States rose to about seven hundred and fifty-two billion dollars. ("Advantages of NAFTA - Benefits of NAFTA - Positive Effects of NAFTA."). This growth has expanded immensely not only Canada was profiting but the other two were also gaining. NAFTA products produced in Mexico and the U.S could be sold in Canada for very low prices. These products are usually cheaper because workers in Mexico and some states of the U.S. are paid much less than Canadian workers (In Mexico, the average worker's salary is two dollars a day). (Is NAFTA Good or Bad for Canada, the U.S., and Mexico? | Economic Issues and Public Policies."). The money saved from free imports add up resulting in Canada moving a lot of money to spend on importing more goods. The savings from such duty free imports add up resulting in Canada Having an excessive amount of money to spend on importing more goods of variety, allowing consumers to have a better selection of foods and products at a cheaper cost. This is very beneficial to the economy and Canadians who want to pay the lower prices but still get quality with their goods.

Over time Canada has had a better economic growth than Mexico and the U.S. Canada’s economy shows an annual growth rate of 3.6%, compared to the United States (3.3%) and Mexico (2.7%). (Economic Issues and Public Policies). Canadas is still a growing country, but has showed to improve t. Throughout 1994-2006 Canadas economy was shown to. From 1994-2006, the Canadian economy expanded an average of 4.1% a year which is .3% better than the U.S. and .6% better than Mexico. ("Advantages of NAFTA - Benefits of NAFTA - Positive Effects of NAFTA."). In conclusion I believe that NAFTA is beneficial to Canada. NAFTA has helped Canada grow its economy is many ways, creating new relationships with countries, and expanded Canadas trade. NAFTA first initiated to set out free trade between the three North American countries and would later on go to benefit all three, but especially Canada. It had increased jobs and expanded new sectors of industries, and shown over time that we have benefited most out of the other 2 countries. Overall NAFTA is a great benefit for Canada and is what shapes todays cities and