¶ … NAFTA
Historical Beginning of NAFTA (with specific bibliography)
NAFTA Objectives
What is NAFTA
The Promise of NAFTA
NAFTA Provisions
Structure of NAFTA
Years of NAFTA (NAFTA not enough, other plus and minuses)..
Environmental Issues
Comparative Statements (Debate)
NAFTA - Broken Promises
NAFTA - Fact Sheet Based Assessment
NAFTA & Food Regulation
NAFTA - The Road Ahead
NAFTA in Numbers
Goal Fulfillment
Major Milestones
Consolidated Bibliography
This study set out to examine the inner workings of the North American Free Trade Agreement. The aim of this study is to assess whether the NAFTA agreement is viable, and whether it has achieved the goals that it set out to accomplish. For purposes of this study, objective information was gathered to assess many different aspects of the NAFTA agreement, including but not limited to the following: History, Structure, Provisions, Issues, Statements and Milestones.
Purpose of Study
The purpose and aim of this study was to achieve an unbiased analysis regarding NAFTA and assess whether or not NAFTA has achieved its goals and objectives. More than 200 resources will be examined for purposes of this study.
Historical Beginning
In order to truly grasp the full impact of NAFTA and its objectives, we need to first study, examine and understand the history of GATT to get a clear perspective on the need and emergence of NAFTA.
The well being of any country has long been contingent upon its ability to maintain and establish international trade; this fact has long been recognized. Countries are in contention however, the degree of openness of the economy to the penetration of foreign goods and services. During the 1700's a majority of people held the belief that trade existed in a "dog-eat-dog" world. The conventional wisdom of Mercantilism suggested that a country could gain related to trade only at the expense of its rivals. It also supported the notion that a country could grow rich as a result of the amount of gold that it amassed via sale of domestically produced goods to foreigners, while at the same time constraining the amount of foreign products that would be sold in the domestic market. Protecting the domestic market was held to be a sacrosanct belief.
The mercantilist view of trade was challenged later during the 1800s, primarily by theorists such as David Ricardo and Adam Smith, who argued that international trade could benefit both domestic partners and foreign associates. Trade could in essence become a "win-win" situation. For this to happen, two conditions must be present::
All countries involved must specialize by producing and subsequently selling the goods that it was able to using the most efficient methods relative to the capabilities of other countries, a theory referred to as the law of comparative advantage, somewhat similar to an international division of labor;
Countries must agree to a free, unregulated flow of goods between countries, creating a sort of international "laissez faire" state of existence.
In 1846 in Britain, the idea and belief in the "economic and moral rightness" of Free trade became a kind of national dogma. The free trade idealism took some time to reach America. For a long time the U.S. governing class held on hard to the idea of protectionism. The idea of protectionism was even more pronounced when Alexander Hamilton drafted his Report on the Manufacturers, which called for protection of infant industries operating throughout the nation. This idea was present in the Smoot-Hawley Act of 1930, which raised tariff rates in the U.S. By as much as 50% between the years of 1929 and 1932.
During the 1930s the great depression brought convergence on trade issues across the Atlantic. Reassessment, realignment and restructuring of many economies followed, resulting in tariff wars that were in fact destructive to all concerned.
A new model for operation was subsequently ushered in during the Post World War II ear. During the Bretton Woods Conference, and International Monetary Fund was created in an effort to oversee international monetary and exchange rate systems.
Finally during 1946, the General Agreement on Trade and Tariff was created at the first session of the Preparatory Committee of UN Conference on Trade and Employment. Referred to as GATT, its initial purpose was primarily to negotiate "tariff concessions" among countries that were members. GATT also set out to establish a code for conducting business among members. This code of conduct included development of a set of procedures that were to be used for resolving trade disputes via negotiations; successive negotiations were referred to as rounds.
Nondiscrimination and multilateralism in international trade were among the principles that GATT was founded on. By this convention "if the tariff on imports from one country is decreased,...
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