Essay about Nafta Agreement

Submitted By dtwent24
Words: 361
Pages: 2

The North American Free Trade Agreement is an agreement between the countries of North America, Mexico, and Canada. The agreement was implemented in January of 1994 with the governments of each corresponding country signing the agreement thus creating a trilateral trading bloc in the North America continent. The focus of this paper is to take an in depth look at the current issues and challenges of the trade agreement. What are some possible solutions to the problems facing NAFTA? Also, some of the success that the trade agreement has had upon until this point will be reviewed. Finally the impact the trade agreement has had on International Business will be reviewed in this paper. When NAFTA was enacted in 1994 the agreement was sort of a response to the trading bloc of the European Union or EU for short. The United States, Mexico, and Canada by signing this agreement wanted to promote free trade between the three countries. They did this by reducing legal restrictions on doing business with one another by such actions as eliminating tariffs amongst other things. Some critical points or goals the three countries wanted to accomplish were at the forefront of why the agreement was implemented. First, the three countries wanted to reduce the cost of producing goods while increasing the rate they produced goods to gain some comparative advantages in the international market place. Next, One of the biggest problems affecting the North American Free Trade