1. NAFTA (North American Free Trade Agreement)
Tratado de Libre Comercio de América del Norte
By Tanvi Parmar
Accord de Libre-échange Nord-Américain

2. What IS NAFTA?
Definition: A trade agreement made between the governments of Mexico, Canada and the United States for the purpose of eliminating trade barriers among them. Important Documents: -North American Free Trade Agreement (with preamble, 22 chapters, 7 annexes, and articles) -procedural forms

3. AGE OF ORGANIZATION
-Negotiations between three countries since President H.W. Bush, Prime Minister Brian Mulroney and President Carlos Salinas met together on December 17, 1992 in San Antonio, Texas in order to sign agreement. -The agreement was then given to each country’s legislative in order to make changes and approve (protect American workers/U.S. partners must follow same environment practices and regulations like theirs). -By the time all the changes were made, Bill Clinton became president of U.S. and two Canadian prime ministers came into office (Campbell/ Chretien) -NAFTA was implemented on January 1, 1994 (18 years old)

4. Purpose
Outlined by Article 102 of the agreement: -eliminate trade barriers and tariffs between three countries -promote conditions of fair competition -increase investment opportunities -provides protection and enforcement of property rights -provides procedure to resolve trade disputes -establishes framework for further improvement agreement and expand NAFTA’s benefits

5. Who IS INVOLVED?
Membership: -U.S., Canada and Mexico Leadership: -The presidents and prime ministers of these three countries meet at a North American Leaders Summit and discuss there (summit- meeting of heads of government/ state with an agenda of discussion) -Each has a Secretariat comprised of a Mexican Section (Mexico City,), U.S. Section (Washington D.C.) and Canadian Section (Ottawa) that is responsible for any disputes regarding NAFTA

6. Advantages of Membership
-allows 450 million people to trade with each other at a lower cost -reduces inflation (by decreasing cost of imports) -creates agreements on international rights for business investors -reduces cost of trade (greatly benefit and help growth in small businesses) -increased trade in all goods and services (responsible for $1.6 trillion in goods and services every year) -increases GDP -foreign direct investment (when an individual or company owns more than 10% or more of a foreign business) -reduced oil and grocery prices

7. Disadvantages of membership
-loss of jobs ( U.S. manufacturers sent jobs to Mexico for cheaper; jobs are lost) -farmers put out of business (due to subsidized farm products) -wages are suppressed (threaten to send jobs away) -maquiladora workers are exploited -environment destroyed (pressure to compete use chemicals)

8. International impact-Mexico
-U.S. Jobs are now getting sent to Mexico (cheap labor; exploitation) -Local Mexican farmers cannot compete with U.S. subsidized farm products (lost farms) -Mexican environment destroyed (due to competitive pressure); pollution -trade increase in products and goods (higher growth) -Mexican oil is imported for less -GDP growth (46%) -more foreign investment

9. INTERNATIONAL IMPACT- canada
-Canada’s trade with U.S. has grown 80% -U.S.-Canada and Mexico-Canada trade for $484 billion -growth in exports (successful in automotive equipment, machinery and parts and industrial goods) -growth in imports -contributed to Canada’s attractiveness to foreign investors

10. What does nafta mean for u.s.?
-increase in GDP (.5% a year) -boosted U.S. farm exports (eliminated high Mexican tariffs) -created trade surplus in service (financial services and healthcare) -reduced oil and gas prices -increase in foreign direct investment -U.S. jobs lost/ U.S. wages suppressed -can compete with European Union -can compete with China and its’ trade agreements

11. Work Cited
Information: -The NAFTA's Impact." Foreign Affairs and International Trade Canada. n. page. Web. < commerciaux/agr-acc/nafta-alena/nafta5_section04 .aspx?lang=en&view=d>. -NAFTA Secretariat. n. page. Web. < alena.org/en/view.aspx?x=202>. -Amadeo, Kimberly. "History of NAFTA." About.com. n. page. Web. 24 Mar < -Amadeo, Kimberly. "Disadvantages of NAFTA." About.com. n. page. Web. 24 Mar < -Amadeo, Kimberly. "Advantages of NAFTA." About.com. n. page. Web. 24 Mar <

12. Work Cited:
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