N.A.F.T.A Assignment Example | Topics and Well Written Essays - 1000 words

N.A.F.T.A - Assignment ExampleMoreover, the policies also focused upon codifying broad assortment of agreements related to textile, agriculture, telecommunications, auto trade, intellectual properties, flexibility of workers and environmental policies (Ford, A brief narration of NAFTA). Thesis Statement The discussion would aim to analyze the purpose of NAFTA. It would also attempt to provide an insight into the history of NAFTA along with ascertaining the favorable as come up as unfavorable outcomes on the US and world economy. A Brief History of NAFTA NAFTA was established in the year 1994 for the purpose of trimming down the be related to trading, raising business funds and most signifi shadowertly promoting financial growth among Mexico, Canada and the US. The agreement i.e. NAFTA which was duly signed by the different leaders of the fighting(a) nations was ratified by the Congress of the US in the year 1993. It was observed that the agreement proved to be quite controversial as most of the manufacturing industries as well as the makers of agricultural commodities belonging to the US faced the threat of losing the business market by competing with the Canadian along with Mexican business firms referable to their lower cost arrangements (Ford, A brief history of NAFTA). ... Additionally, the fundamental purpose of NAFTA is to ensure and maintain a smooth flow of goods as well as services by making substantial investments. Moreover, the agreement aimed to provide each of the participating countries the prominence in terms of substantial favored trade in the business market. With regard to the purpose of NAFTA, it has been observed that the agreement encompassed certain important areas which comprised the abolition of non-tariff associated trade barriers, augmentation of financial investments and reduction of environmental issues. Moreover, the agreement also entailed segments much(prenominal) as trimming down the tariffs and developing the trade rules s uch as dispute settlement methods. However, on the basis of the above discussion, it can be say that the chief aim of NAFTA is to generate a situation of free trade amid the nations of Mexico, Canada and the US by the exclusion of tariffs along with other trade barriers. The agreement i.e. NAFTA can be considered as a major initiative owing to the different imperative purposes of the trade policies (Rosson, Benson, Moulton and Sanders, The North American Free trade Agreement and U.S. cultivation). Effects of NAFTA on US World Economy NAFTA was found to pose significant effects upon the world economy of the US. Due to the implementation of NAFTA, the trade traffic between the nations i.e. Mexico, Canada and the US broadened substantially. It becomes necessary to be stated in this context that the supporters of NAFTA declared the agreement to be a successful one for supporting the producers of the US by generating a free trade amid the participating nations. Moreover, the agreement benefited the