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In order to analyze the pros and cons of NAFTA I will pick a country inside the agreement and also an outsider, in order to get a better view and analysis of the effects of this regional integration.
From the perspective of a country located within NAFTA I am going to talk about Mexico, first because is my country and second because there have been a lot of discussions that Mexico is going to be the winner in this agreement.
Pros
NAFTA is going to:
1) Increase foreign direct investment (FDI) flows into Mexico. ...
Cons
1) Most of the jobs created by NAFTA in Mexico are located in American-owned factories called Maquiladoras. ...
3) NAFTA can cause community and cultural disintegration due to migration within Mexico and to the US. ...
5) NAFTA policies bring negative effects on small and medium-size agricultural producers in Mexico.
NAFTA forced Mexico to reduce support for small farmers because this was considered “market distorting” and an obstacle to American agribusiness companies. ...
The number of Mexicans living in poverty has grown since NAFTA began. ...
From the perspective of a country located outside of NAFTA I will analyze the effects the agreement can have in Asian countries like: China, Japan, Taiwan, Malaysia, Singapore and South Korea.
1) NAFTA creates discrimination against traders outside the region, resulting in a less efficient global economy. ...
2) NAFTA can mean a potential loss of access by Asian countries to the North American market. ...
3) NAFTA could act as a competitor with the Asian countries in terms of trade and investment flows. The three countries part of NAFTA, see it as the way to increase their global competitiveness through reaping the economies of scale from a larger, more integrated market, and from shifting low-skilled labor production to Mexico.
Approximate Word count = 1317
Approximate Pages = 5.3
(250 words per page double spaced)
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