NAFTA ESSAY
Free trade between Canada and the United States was never expected until 1989. At first Canadians had doubts on this agreement, and wondered if it would ultimately benefit the Canadian economy. Many Canadian citizens became skeptical about the fact that Canada would be so closely tied with the United States if free trade were to be implemented. Many thought that Canada would lose its identity and begin to become more Americanized. Canadians thought that Free Trade would be open the door for the United States to takeover Canada. Almost twelve years after free trade has come into play, Canada still remains to have its own individualistic identity and the Canadian economy is more prosperous than it has been in years. Canada’s economy has greatly expanded from Free Trade by enhancing overall trade, creating competition in the foreign market, and overall providing Canada with large economic growth. Overall NAFTA has been very positive for Canada’s economy. In order to strengthen an economy there must be jobs, revenue within the economy and goods that are being produced at a price that can be sold to consumers at a reasonable price. NAFTA is centered around achieving an enhanced and secure access to the American Market in
Just as soon as all of the factors are looked at and analyzed, it’s evident that Free Trade has been very beneficial for Canada’s economy. Since the implementation of Free Trade, the U.S. production has been very important in the growth of the Canadian economy since it is the number one importer of Canadian goods. In other words, a loss in access to the American market would mean a loss to the Canadian economy (Minister of Supply and Services, 323). Free Trade has bounded both the Canadian and American market tightly. Although many people feared the fact that Canadians would become more like Americans because of the close ties that the two countries share, this fear has been proven to be nothing to worry about. Canadians are very distinct in their histories, geography’s, immigrant experiences and Free Trade has been unable to change these facts (Crispo, 115). The goal of Free Trade is not for the U.S.A to take over Canada, but for both economies to prosper and grow strong together. This is a goal that has been achieved. Both the U.S. and Canada’s economies’ have prevailed and Free Trade has proven to be very effective. Free Trade has begun to emerge because of states forging closer economic links. Globalization is inevitable and free trade has proven effective in strengthening a country’s economy in an effort to make them more competitive within the global market. NAFTA has increased both imports and exports within the Canadian economy. It has created jobs for the Canadian people, thus giving them income and money to spend within the economy. This overall has made Canada’s economy strong and prosperous. All of these factors have given Canada the competitive edge and secured it’s place in the global economy. All this concludes that Free Trade is an enormous gain for our country’s economy and will ultimately result in a prosperous future. With the expansion in the Canadian economy that free trade has generated, it has forced upon Canada the more efficient and productive ways of producing goods that are in demand. Our success though is somewhat due to the close ties that Canada has developed with the American market. The Americans are the ones who imports most of our goods and it is because of the demand for these goods that has been placed on the Canadian economy that it has become strong (Crispo, 100). With these methods adopted by Canadian industry, Canada’s competitiveness in the North American market has increased as well as it’s competitiveness on a global level. Since Canada has adopted Free Trade, it’s relationship with the rest of the world has gotten stronger (Cameron, 45). Being more competitive globally has allowed Canada to increase it’s foreign investment within the country. Canada’s trade with the rest of the world has increased since the implementation of NAFTA (Refer to Graph #1). Because of Free Trade the tax free borders have been created, the costs that are saved on tariffs allow more products to be produced at the same price as before. This, in turn means that Canada is not only able to export more goods to the United States, but to the rest of the world also. (Crispo, 27) With increased competition in trade, and a strong economy more foreign investment has been attracted to Canada. The increased access to the American market has ultimately led to new or renewed investment in Canada (Cameron, 12). These investments will continue to demand more efficiency and productivity from the Canadian economy. The ability that Canada has to acquire their goals is what ultimately has given us the ability to be an important player in the competitive global economy. (Cameron, 12) Having greater access to the American economy has not only aided Canada in attracting foreign investment, but it has also helped Canada to come up with new technologies in the competitive market. Canada has not only invented many new technologies alongside the American marketplace, they have a
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Approximate Word count = 3743
Approximate Pages = 15 (250 words per page double spaced)
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