was an inevitable step in the evolution of the United States

economic policy. The globilization of the world economy due

to technological advances in computers and communications

have shrunk the world to the point where no single country

acting alone can effectively compete on the foreign market.

Even the United States, with its vast resources, can not

have an absolute advantage in all thing that it produces. It

does not have unlimited factors of endowments and must do

its best to make these available to the companies within its

There are two basic sides to the argument over the

North American Free Trade Agreement. The Pro-NAFTA side

views the treaty as a way to provide a large, efficient

production base for the entire geopolitical area. This would

result in lower cost to consumers and an increase in exports

to Mexico and Canada. The multiplier effect would then take

place producing growth in all areas. The Anti-NAFTA group

feels that Mexico will be an unequal partner due to the

lower wage rates of the Mexican populace, causing the loss

Another 226,030 jobs have disappeared as result of trade

protectionism restrains imports will cause the dollar to

so because of the potential for loss of employment. Mexico

and from companies in the U.S. Since the middle class

and credit card interest rates in Mexico have almost doubled

Some topics in this essay:
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