Throughout history, the United States has initiated policies, peace agreements, or laws which were believed to bring prosperity, and success, however those policies as a result were created in the U.S. best self-interest. One of these policies is known as NAFTA, which was a trade agreement created to open up free trade around the globe, however this policy backfired, deeply scaring and deteriorating the Latin American economy, and its people. Specifically, NAFTA known as the North American Free Trade Agreement, took effect on January 1, 1994 was a treaty which entered by the United States, Canada, and Mexico used to eliminate tariff barriers, in order to encourage economic prosperity between these three countries. A quarter century later, the
When thinking about North American and its countries it is hard not to think about the North American Free Trade Agreement. Well, it may be easy to not think about but of this essay let just say that everyone thinks about it. This trade agreement was implanted over 20 years ago and the affects of this agreement are still being talked about today. This agreement is being talked about because of the numerous criticisms it has received since in was enacted in 1994. Where the agreement was actually beneficially is not the main topic of discussion. In this essay, it will examine the main criticism of NAFTA and tried to explain how they came to be. The main argument is that NAFTA is more known for its criticism then what is has done to create better trade among its members.
Mexico’s economy is undergoing a stunning transformation. Seven years after the launch of the North American Free Trade Agreement, it is fast becoming an industrial power. Free trade with the U.S. and Canada is turning the country from a mere assembler of cheap, low-quality goods into a reliable exporter of sophisticated products from auto breaks to laptops computers. Although Mexico has seen economic growth lately, it still faces tremendous problems in the aftermath of the 1995 recession and the revolution that took place in the Chiapas which still wages on today. The purpose of this paper is to explore the effects that NAFTA has had on the economy and it’s people during the implementation of NAFTA and in what NAFTA will bring in the future.
America’s economy is flat lining. We are bleeding jobs and hemorrhaging revenue. One out of every seven citizens is on financial life support and our government needs to do something stat. One of the first steps in the road to recovery is repealing the North Atlantic Free Trade Agreement, or NAFTA, because it is dangerous to our economic stability and future.
The North American Free Trade Agreement (NAFTA) entered into force on January 1, 1994. It created the world's largest free trade area: 380 million people producing nearly $8 trillion worth of goods and services. One of NAFTA's primary objectives is to, "contribute to the harmonious development and expansion of world trade and provide a catalyst to broader international cooperation" (US Trade Rep.). To ensure its role in advancing world trade NAFTA must expand its boundaries to the Caribbean as well as Central and South America.
NAFTA
Since the beginning of civilization, trade has been an important issue. Christopher Columbus sailed to the Americas in search of a faster and safer trade route to India. We as Americans fought for our independence over trade related issues, such as tariffs and rules on with whom we were allowed to export and import goods. Our people have always fought for the rights and ability to buy and sell what they want at a reasonable price.
The North American Free Trade Agreement—NAFTA—was an important agreement signed between three countries—the U.S., Mexico and Canada. NAFTA played an important role between each of these countries’ relations with one another through imports and exports. Throughout the presidential elections throughout the years, NAFTA has been highly debated on whether or not it has helped benefit the economy of these countries or if it has caused a lot detrimental issues. NAFTA promised many benefits for these countries, but not all of their promises were carried through; many views across the political spectrum also have their indifferences about NAFTA.
A Discussion of the Negative Impact of NAFTA on North America
The North American Free Trade Agreement was passed in November of 1993 and went into effect on January 1, 1994. The agreement aimed to eliminate tariffs between Canada, Mexico and the United States, leading to the eventual creation of free trade among these three countries by the year 2008. Supporters of NAFTA billed the agreement as a wonderful opportunity to create jobs, stimulate competition, and free North America from harsh and often unfair tariffs that restricted trade between the three nations. From a theoretical perspective, NAFTA appeared to have the makings of a highly beneficial relationship between Canada, Mexico and the United States.
The North American Free Trade Agreement (NAFTA), came into effect on January 1, 1994, creating the largest free trade region in the world, generating economic growth and helping to raise the standard of living for the people of all three countries participating. By strengthening the rules and procedures governing trade and investment, the NAFTA has shown to be a great base for adding to Canada’s prosperity and has set a valuable example of the benefits of trade liberalization for the rest of the world. NAFTA was designed with many economic results in mind. Hopes were that not only trade would be easier, cheaper, and easier for all countries involved, but economic wealth and growth would follow. The support for NAFTA was spilt among the citizens of Canada, half saw the potential, while the rest seeing it to have a terrible effect on Canadian employment. Roughly 20 years has past since putting this agreement in place, and the NAFTA agreement has proven to been a mixed blessing for this country.
The Problems with NAFTA Not Helping Economies
"The free trade argument states that, if each nation produces what it does best and permits trade, over the long run all will enjoy lower prices and higher levels of output, income, and consumption that could be achieved in isolation. "
The North American Free Trade Agreement (NAFTA), started in January of 1994, created a situation in North America in which there are no taxes on most products imported and exported between the three countries. Ideally, the governments of Canada, the U.S. and Mexico believed that breaking the trading barriers would increase jobs and other things as it improved each of their economies. NAFTA, however, has not necessarily helped the economies in the way in which the governments had projected. There was much speculation before the signing of the treaty that NAFTA would not work out the way it was projected to.