The Impact Of The North American Free Trade Agreement

The North American Free Trade Agreement was created in order to help relations between Canada, The United States, and Mexico. While Canada had previous relations with the US with free trade when Mexico became a part of the talks in 1991 thus creating the North American Free Trade Agreement otherwise known as NAFTA. The premises of the agreement are to allow trade without tariffs except on certain products to flow freely between the three countries. While NAFTA include Mexico, United States, and Canada the paper will focus on the relationship between the US and its southern neighbor Mexico, the paper will inform the reader NAFTA consists of, the controversy behind creating NAFTA, the effects of NAFTA on Mexico’s economy, environments and†¦show more content†¦NAFTA was created to making trading easier and less expensive for the actors involved to export and import with one another. When it was first introduced, there were many negotiations and ramifications that took pl ace. The premise for the negotiations and agreements was to make North America the most productive and richest market in the world and help in continuing economic growth within the countries. This however, has not been achieved and while it has contributed to cheaper goods for consumers there is still plenty to be done to create an agreement that will benefit all actors involved. As negotiations took place the outline of NAFTA began with reducing the tax on exports from the Mexico to the US by half while the US imports to Mexico tariffs were reduced to one third. Eventually within years of implementing the trade agreement most US-Mexico tariffs would be eliminated making it easier for trade to happen among the countries. There were many provision that were negotiated by all three countries to do their part in becoming better partners within one another. In the actual text of the agreement we see that along with making trade easier they are advocating to â€Å"promote conditions of fair competition in the free trade area† which would allow smaller business to gain consumers into their good and allowShow MoreRelatedImpact Of The North American Free Trade Agreement991 Words   |  4 PagesA free trade agreement is a treaty between two or more countries to establish a free trade range where commerce in goods and services can be regulated across common bor ders, and without tariffs. An extensively recognized trade agreement is the European Union. The European Union has been advantageous by providing, safety, international mobility, employment mobility, residential mobility, and tax options. However, free trade agreements are not always beneficial. This paper will illustrate the negativeRead MoreThe North American Free Trade Agreement. 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