Economic Growth It Can Muster

Another thing that Trump has done to affect us that live in the valley or in Texas, Donald Trump said that he would renegotiate or break the North American Free Trade Agreement (NAFTA). "We will either renegotiate it or we will break it," Trump said during an interview on 60 Minutes, following a question about how to keep American jobs from moving to Mexico. "Because, you know, every agreement has an end." NAFTA, which has been in effect since the mid-1990s, allows free trade between the United States, Canada and Mexico." “We need fair trade. Not free trade,” he said. "It’s got to be fair." Trump is not the only GOP candidate to suggest that the U.S. can and should break its international agreements in some circumstances. Texas Sen. Ted Cruz, former Arkansas Gov. Mike Huckabee and former Hewlett-Packard CEO Carly Fiorina all have said they would renege on the Iran nuclear deal the Obama Administration struck earlier this year. This has a major effect on us because if the NAFTA brakes the agreement that has been since the 1990’s it would stop everyone that comes to here for a better job and just stay in Mexico with that the population would decrease and much more will happen.

One of most talked about issues to those who live in on the U.S.-Mexico Border is the economy. The economic relationship between the United States and Mexico began in the colonial era, but it was not formalized and strengthen until the North American Free Trade Agreement was enacted and ratified by both countries, with the addition of Canada, in 1993. Mexican government “made it clear that the enhancement of foreign direct

Impact of NAFTA on Mexico’s manufacturing industry – Effect on Productivity, Wages rates, Incomes, and Investments in FDI

"In 1994, both countries [Mexico and the United States] signed the North American Free Trade Agreement (NAFTA) which has increased their mutual trade and foreign direct investment. Between 1994 And 2005, the US-Mexico foreign direct investment flows increased substantially from 16,968 billion to $71,423 billion. By 2007, the Mexican commercial relationship with the U.S. almost tripled from $297 billion to $930 billion." [2] This mutual increase in business inherently has had an attendant growth in "the number of foreign enterprises who have situated in each country." [2] With this increase in international business and trade comes cultural shifts and increased globalization and differences in managerial functions.

Nonetheless, many analysts agree that NAFTA has made a mark. U.S.-Mexico trade continues to grow, and NAFTA and the promises it brings have lessened the impact of the Mexican recession and quickened its recovery. Healthy, growing bilateral trade, they say, depends on healthy, growing economies, and Mexico’s recovery and continuing economic liberalization should fuel that trend.

Many businesses in the U.S. are heavily relying on imports from Mexico, mentioned by the same New York Time article. Especially in retail and energy industries went in a panic due to this unsure policy of Trump’s. This is not the best way to make America’s economy better.

In the article, the author discussed about what Trumponomics truly meant not only for our nation, but also for Mexico. It is going to affect the regions around the border drastic and instantly once it is applied. Mexico is America’s second largest export market; America is Mexico’s largest. According to the article, the two countries build things together, and even pool their comparative advantages to create what’s called the “ultra-competitive” regional economy. If Trump actually places “the Great Wall of America” there with a 35% tariff on Mexican goods and actually scraps the NAFTA, not only would it quickly knock 5% off Mexican GDP, but it would also destroy a lot of the American Companies. It is going to strike both countries’ economy

First, Donald Trump will be the greatest president we have ever had because of his tax reform. Donald Trump's tax reform has four major goals, tax relief for middle class americans, simplify the tax code, grow the american economy, and to make it so it doesn't add

The North American Free Trade Agreement, commonly known as the NAFTA, is a trade agreement between the United States, Canada and Mexico launched to enable North America to become more competitive in the global marketplace (Amadeo, 2011). The NAFTA is regarded as “one of the most successful trade agreements in history” for its impact on increases in agricultural trade and investment among the three contracting nations (North American Free Trade Agreement, 2011). Supporters and opponents of the NAFTA have argued the effects of the agreement on participating nations since its inception; yet, close examination proves that NAFTA has had a relatively positive impact on the economies of the United States, Canada, and Mexico.

First, he wants to “appoint the toughest and smallest trade negotiators to fight on behalf of American workers.(Fernandez 1). Mr. Trump wants to understand and see where the American workers’ jobs are going. Furthermore, he wants to note why millions of Americans don’t have jobs and who are taking them away. To do that he has to first renegotiate NAFTA or get rid of it (Fernandez 2).What is NAFTA and what mess it is creating? Basically, a trade agreement between the USA, Mexico and Canada formed by Bill Clinton, and it has let many Americans without jobs because most of them have gone to Mexico. That is the main reason Donald J. Trump hates this agreement and how it has destroyed the United States economy to bits and pieces. Additionally, what makes Trump fierce is that China has been stealing American trade secrets for many years. He clearly stated, “If China does not stop its illegal activities, including its theft of American trade secrets, I will use every lawful presidential power to remedy trade disputes, including the application of tariffs consistent with Section 201 and 301 of the Trade Act of 1974 and Section 232 of the Trade Expansion Act of 1962” (Fernandez 3). Clearly, this shows that Trump is serious about his job and doesn’t care if he is dealing with China. China has been stealing all our trade secrets and Barack Obama didn’t do anything about it. In brief, this clearly shows that our future President has the characteristics and personality of a true leader that is ready for this great battle.

It is known that he believes NAFTA is one of the leading causes of America’s downfall. To counteract that, Trump has proposed to change NAFTA and make it better. The idea of changing the agreement has made Mexico’s currency become very volatile because there is uncertainty on what will happen if Trump gets elected. The NAFTA has led to a better business relationship between Canada, the US and Mexico; however, a sudden change in how the new president will perceive the NAFTA agreement will affect the currency rate for Mexico and the United States. Companies who have locked their exchange rates during trade agreements that become affected as the rates continue to fluctuate. Trade wars may occur making the future unpredictable for the companies. When this happens, companies will have to slow down and hold more capital to protect themselves from potential losses. With limited growth and a willingness to expand, the stock market will slow to a halt if there are no impressive milestones to be shown to potential the investors. With more companies trying to hold on to capital, their plan is to “have a case cushion” when Trump is elected, which will inevitably going to lead to slow growth across many

Based on census.gov, when US started exporting to Mexico in 1985, it was exporting exactly 13,634.7! In millions) and importing 19,131.7 (million). Currently, into thousand 15, and exports and imports croup substantially to 237,377.4 (in millions) and 294,741.1 and exports. This data shows a major increase between the 30 year trade. With Mexico and the US. Mexico and the US continue to be trading partners because of the huge beneficial investments and production sharing. Mexico already purchases more US goods than any other nation except Canada, Mexico and US partnerships don 't only focus on buying goods between one another but also in production sharing as well.

Mexican dependence on the U.S. is notable. After the failure of the drive to diversify trade patterns in the 1970s and eighties (the local equivalent of Canada's Third Option policy), a 'realist' approach began to mark the nation's traditional nationalist and protectionist economy. From opposition to excessive U.S. dependence, Mexico moved to welcome it as inevitable. With time, the Mexican economy became even more dependent on the United States than the Canadian economy.2

Mexico is the top trading nation in Latin America and the ninth-largest economy in the world. No country has signed more free trade agreements – 33 in all, including the two biggest markets in the world, the US and the EU. Altogether these signatory countries make up a preferential market of over more than billion consumers. Much of the FDI in Mexico is attracted by the country’s strategic location within the North American Free Trade Agreement, which has positioned it as a springboard to the US and Canada. Other attractions are competitive production costs and a young, skilled workforce, together with political stability and an open economy.

It has been ten years since the signature of the NAFTA agreement among Canada, U.S., and Mexico. For Mexico, this was a decisive step away from a protectionism model toward a