Analytical Assignment

Issues in NAFTA 1 Issues Regarding Free Trade Between the US and Mexico Under NAFTA Summary Pros . Disciples of free trade are facing tough opposition from advocates who are clamoring to put a stop to free trade agreements because of the negative impacts that it apparently has effected of late . Nevertheless , they are convinced that the NAFTA did improve the trade situations of the countries involved . In fact , they indicate that the 3- way trade between the US , Mexico and Canada has soared under the agreement . Despite

what the other group has claimed about the loss of jobs , statistics do show that unemployment in the US is significantly lower (4 .9 in January 2008 than it was 14 years ago (6 .6 in January 1994 . In addition , US-based multinational companies were said to have benefitted from lower production costs . Moreover , American shoppers did enjoy shopping with the lower prices of imported goods Cons . The clamor against NAFTA and its effects on both the US and Mexico is stronger in recent times . Advocates believe that free trade has not done much to improve the plight of laborers , both those in the agricultural and manufacturing industries , and overall trade as well . On the contrary , it has hurt Mexican farmers as they could only watch the prices of their commodities fall as it is pitted against their imported counterparts , who enjoy greater government subsidies . Their manufacturing counterparts in the US have likewise suffered from the treaty , with as much as 3 .1 million manufacturing jobs lost since 1994 . In Ohio alone , 50 ,000 people lost their jobs as a Issues in NAFTA 2 result of the NAFTA . Similarly , the US trade deficit with Mexico rose to 138 .5 billion last year from 9 .1 billion in 1993 Basic Arguments Maybe the treaty does need to be freezed temporarily , if only to give ample time for the review of the pact and mitigate the loopholes that were previously overlooked One example is the need to address the increasing problems involved with citizens illegally crossing bs , as evidenced by the increase in the incidence of illegal immigration to the US Another is issue that critics have pointed out is that free trade NAFTA in particular , was not effective in increasing employment and subsequently incomes . To illustrate , privatization and falling trade barriers have done little to curb income inequality in Latin America , while in Mexico , not enough jobs were created to keep up with population growth Conclusion /Insights I agree that there could be a need to review the NAFTA and assess the impacts that it has effected so far . The legislators concerned should have anticipated the negative impacts that free trade brings , especially at the initial phase . Like its effect in agriculture Mexican farmers who just till in "tiny " plots , cannot simply compete with its big US and Canadian agribusiness counterparts . The Mexican government should have done its part in terms land reform and building the necessary infrastructure , among others , to make its Issues in...