The Government of the US discouraged foreign goods to protect domestic goods from foreign competition, using the government in which it chose to restrict the import of goods from foreign countries.
The major reasons for protecting the US from foreign goods are as follows:
1) The government wanted to protect domestic workers from losing their jobs. Free trade would have met the workers of the domestic country exposed to foreign competition, and consequently losing their jobs.
2) The government wanted to protect small industries which mean small industries should be protected by imposing trade restrictions to give them a chance to grow and develop to become more competitive. These industries were now working at a very small stage and incompetent to face the Giants of the global economy.
3) The government wanted to restrict trade as it wanted to prevent the unfair trade practices which are caused due to free trade across the countries. Each country has its trade regulations which may be unfair for some countries. Such differences lead to unfair practices in the domestic market, and when such unfair practices are evident, government restrictions become mandatory.
4) Another important reason for imposing trade barriers was that the country wants to protect national security which is caused due to free trade. National insecurity is caused due to trade when a country becomes dependent upon other countries for the supply of materials or other important resources. When it comes to national security, it is important to protect domestic industries from foreign competition.
5) Finally, trade barriers are introduced by the government for reducing the bargaining in negotiations which are caused due to foreign competition, and restriction becomes an evident asset to reduce such trade negotiations. The bargaining power of the domestic industries is greatly harmed due to foreign competition in such cases government interference becomes necessary for the protection of such industries.
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Based on the quote, critics of NAFTA might have claimed that:
A) Mexican workers would be unfairly taken advantage of
<h3>What can be deduced about the critics of NAFTA from the text?</h3>
The critics of NAFTA believe that Mexico was not as strong as the other countries who entered the trade agreement so the possibility that they will be taken advantage of was there.
Having read the above statement from the 1993 agreement of NAFTA, we can see that the reference to the United Mexican states must have proved that the union was needed to stand side by side with the American and Canadian states.
Critics might have believed that Mexico was vulnerable and could be unfairly taken advantage of in the deal.
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