North American Free Trade Agreement

The North American Free Trade Agreement In January 1994 the United States, Mexico and Canada entered into the North American Free Trade Agreement (NAFTA) and created the largest free trade sector and the richest market in the world. Over 410 million consumers are able to take advantage of the benefits of this treaty (de Blij, Muller 186). In 1995 Chile was added to the treaty and will become a full-fledged member early in the next century. The North American …

…minimum wage more readily and generally do not have the "power heavy" unions to protect them. The agricultural sector from all sides has seen various adverse effects of NAFTA. United States and Canadian exports are increasing in the agricultural sector but the value of the exports has decreased due to competition from the "south". Mexican farmers have also seen increased exports but have lost their government subsidies, which effectively negates the gains from increased exports.