orth American Free Trade Agreement (NAFTA) was negotiated among the United States, Canada and Mexico for the purpose of removing barriers to the exchange of goods and services among the...
Whether NAFTA has been successful is a matter of perspective. Many Americans blame the agreement for encouraging American manufacturers to relocate their facilities to Mexico, where labor costs are lower and environmental standards generally weaker. In addition, the hoped-for improvement in the standard of living among many Mexicans may have materialized, but it remains substantially lower than than in the United States. Consequently, the hoped-for decrease in illegal immigration from Mexico to the United States hasn't occurred.
NAFTA is a trade agreement between United states of America, Mexico and Canada
Explanation:
NAFTA stands for North American Free Trade Agreement which is a treaty signed between United states of America, Mexico and Canada to remove the tariffs imposed on trading goods and services between these three nations.
It has both positive and negative effect.
Positive effects -
a) Price of natural gas was under control due to fuel imports from Canada and Mexico.
b) Tariff free trading caused increase in investment
Negative effects -
a) Exploitation of workers working in manufacturing units.
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