NAFTA: the North American Free Trade Agreement.
I was amazed to find out, when I started researching and writing this term paper, that not too many people know what the NAFTA agreement is, or even what it is about, so through writing this paper, I sought to educate myself, and hopefully a few other people about what NAFTA really is all about!.
So what is NAFTA?.
NAFTA is a trade agreement signed in November 1993 between the United States, Canada, and Mexico. It helps to establish free-trade guidelines between the three countries. NAFTA will soon grow to include 8 more American countries: Argentina, Brazil, Chile, Colombia, Paraguay, Peru, Uruguay, and Venezuela.
The goals of NAFTA are:.
The best listing of what NAFTA is really trying to accomplish is from the authors of the actual document itself. The following is a listing of goals as set forth in the preamble of the NAFTA agreement. .
* To strengthen bonds of friendship and cooperation .
* As a catalyst to international cooperation .
* To create, expand, and secure future markets .
* To establish fair rules of trade .
* To ensure a predictable framework for business planning .
* To enhance firms competitiveness in foreign markets .
* To foster creativity and innovation .
* To create new employment opportunities .
* To promote development .
*sum* To strengthen environmental regulations .
*sum* .
The benefits of NAFTA are:.
Foreign Trade is the area of greatest growth potential for the U.S. In the last 7 years, U.S. exports have accounted for 1/3 of the growth of the American economy. Furthermore, the need to strengthen financial and economical ties with Mexico becomes more important when considered that Mexico is considered one of the top 10 BEM's (Big Expanding Markets) in the world today.
Problems - Arguments For/Against NAFTA: .
The Trade Deficit and Jobs.
One problem frequently brought up about NAFTA, is that of the American deficit with its trading partners. In fact, the U.
