What Are The Pros And Cons Of Nafta

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We live in a world in global competition. Yet many people lack, still to this day, of understanding how our economy and free trade is working including how it can drastically impact our life in America. One of the main free trade agreement that is well known in called NAFTA (North American Free Trade Agreement). It all began after “the end of the Cold War-However it ran a high trade deficit with economic powers- A trade deficit occurs when the value of country’s imports exceeds the value of its exports” (Hart 778), and high paying jobs are offered. During the “early 1990s, President George H. W. Bush began to work for passage of the North American Free Trade Agreement (NAFTA)” (Hart 778). On January 1, 1994 was the free trade agreement between the United States, Canada, and Mexico was enforced by President Bill Clinton with of course Mexican President Carlos Salinas…show more content…
to increase the exports in America. Supporters of free trade believes that all countries should be free to compete anywhere in the entire world without any restrictions. According to Gary Clyde Hufbauer and Jeffrey J. Schott, they said that "NAFTA was designed to promote economic growth by spurring competition in domestic markets and promoting investment from both domestic and foreign sources. It has worked." (Teslik 2). In other words, what they are trying to say was that the reason why NAFTA was designed was to create an impact growth among huge competitive markets for resources and goods being produced. At first, “NAFTA was sold to the Mexican people as “a ticket out of Third Word poverty” (Hanson 87) the economy of Mexico was terrible the people were suffering living in poverty. However, according to David T. Rowlands, he described that “The North American Free Trade Agreement (NAFTA) has created economic hardship for Mexicans and has left many of them

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