Nafta Effects

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NAFTA and the Effects It Has Had in North America Ross Perot once said, “There will be a giant sucking sound going south” (UPenn, NAFTA, 20 Years Later: Do the Benefits Outweight the Costs?). This was said in response to the signing of the North American Free Trade Agreement (NAFTA) when Perot was running for President in 1992 against Bill Clinton and George H.W. Bush (UPenn, NAFTA, 20 Years Later: Do the Benefits Outweigh the Costs). NAFTA was signed by executives on December 17, 1992, approved by Congress on November 13, 1993, signed into law by President Clinton on December 8, 1993, and finally went into effect on January 1st 1994 (United States, Congress, House Page 1). NAFTA was created to form a sphere of free trade among on the countries…show more content…
Overall though, NAFTA has accomplished some goals, but has drastically failed in others (Weintraub). Even though there have been some benefits from the North American Free Trade Agreement, the loss of jobs, increase in illegal immigration, negative environmental impact, and change in the job markets in the USA and Canada have been very detrimental to the two nations, often at the expense of Mexico’s rapid industrialization. Approximately, 1,015,291 US jobs have been lost directly because of NAFTA since Mexico is a region with a lower cost of operation so the jobs market can’t compete with Mexico (Anderson and Bourassa). Since the United States has monopolized the food industry, for the most part, in North America, they have displaced around 9.3 million Mexican farmers that have either left for the city or illegally immigrated to the United States (Anderson and Bourassa). Environmental impacts have been negative in regions such as the “maquiladora zone”, which is along the Mexican-American border because of the increase in factories in the area, which has caused an increased in population and overall traffic and urban expansion, which has killed the desert environment of the region (Anderson and…show more content…
Mexico isn’t as developed socially and economically as the other two countries involved and they have improved economically with the increase in industry and overall blue-collar jobs. Mexico’s economy has increased by thirty percent and overall investment between the USA and Mexico has increased by thirteen billion USD (United States Dollars) (Bowman and Goodwin). Most of this investment has come through agricultural exports with seventy percent of Mexico’s agricultural products now come from the United States, in fact six percent of all American exports are agricultural goods to Mexico (Bowman and Goodwin). This has lead to the belief that overall free trade is a good thing such as famous professor at the Wharton School of Business at the University of Pennsylvania, Morris Cohen, once
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