Prices are lower on good because there are no tariffs placed on imports.
We have benefited from NAFTA.
Goods made in Mexico cost a lot less because labor is cheaper there.
Canadian goods cost a lot less also because labor there is a whole lot cheaper because of NAFTA.
Since NAFTA is a free trade agreement, it obviously helps the cause of global free trade. Although it has hurt the American manufacturing industry, it has helped the economy of Mexico a great deal. It is also strengthening the companies which benefit from cheaper Mexican workers. NAFTA is a success for big business.
Yes, NAFTA helps the cause of global free trade, because it breaks down barriers. The fewer regulations there to trade, the more people benefit from free trade. When goods are available inexpensively, consumers can spend their money on other things. NAFTA is a good start to deregulating trade and lowering prices.
Working families suffer: In the US, more than 765,000 jobs have disappeared as a result of NAFTA When these laid off workers find new jobs, they earn 23 percent less on average than at their previous employment. In Mexico, manufacturing wages fell 21 percent from 1995 to 1999, and have only started to recover. The percentage of Mexicans living in poverty has also grown since NAFTA went into effect
Wages in the US fell also.
The environment suffers: In the maquiladora zones along the US-Mexico border, the increased pollution and the improper disposal of chemical wastes
NAFTA has destroyed jobs and hurt the middle class NAFTA has moved million of jobs to Mexico and overseas. NAFTA was created in 1994 under the guise of “free trade,” an agreement whose purpose was to remove trade barriers between Mexico, Canada and the United States. The result was nothing short of a disaster for both the United States and Mexico.
NAFTA opened up Mexico’s borders to U.S. businesses. What used to be an $18 per hour manufacturing job in America became a $3 per hour job in Mexico. No manufacturer wishing to remain competitive in America could possibly pay $18-20 per hour here when the same product can be produced right across the border in Mexico for just $3 per hour and then shipped back to the U.S. free of charge.
America’s current problem with immigration is a direct byproduct of NAFTA. The amount of immigrants entering the U.S. illegally has more than tripled since 1993, rising from less than four million to over 12 million. Furthermore, since the implementation of NAFTA 300,000 farms have gone out of business and average wages have dropped 13 percent.
Before NAFTA was signed the United States actually traded at a surplus with Mexico. By 2007, a year before the financial collapse, that balance had more than reversed, it had completely imploded. A mere 14 years after signing NAFTA, a small surplus turned into a $91 billion deficit. Factor in Canada and our deficit sat at $191 billion.
For now, not much has changed. Our deficit with Canada and Mexico is already at $56.3 billion.