Getting some information straight helps do a more thorough analysis of the issue.
You need to back them up with some more specific hard facts and a couple of economic principles that apply to NAFTA. These facts and economic principles have the same implications for free trade in general.
1)What was the Unemployment Rate in 1992?
2)What was the Unemployment Rate in July 2000 and what is NARU?
3)What does the law of increasing opportunity cost say and what is its implications regarding steel and textile manufacturing and many other jobs that moved to Mexico and many other countries? What is the concept of creative destruction?
4)What does Aggregate Income = Aggregate Expenditures mean in the context of international trade?
Annual Unemployment Rate, Percent
1993 01 66.91
1995 01 25.59
1997 01 54.94
1999 01 04.23
2001 01 54.79
U.S. Unemployment Rate: SA, Percent
what is NARU?
North Australian Research Unit.
3)What does the law of increasing opportunity cost say and what is its implications regarding steel and textile manufacturing and many other jobs that moved to Mexico and many other countries? What is the concept of creative destruction
In economics, diminishing returns is the short form of diminishing marginal returns, the concept that, as more of an input is applied, each additional unit produces less and less additional output. This concept is also known as the law of increasing opportunity cost. In other words the law of increasing opportunity costs says that opportunity cost, the value of foregone production, increases as more of a good is produced. This "law" can be seen in the production possibilities schedule and is illustrated graphically through the slope of the production possibilities curve. It generates the distinctive convex shape of the curve, making it flat at the top and steep at the bottom. As steel and textile manufacturing jobs are moved to Mexico and other countries, the advantage that was availed of from cheap and affordable labor is now lower than what it was before. As more and more industries were moved to these countries, the available and usable labor is in high demand leading to increases in cost.
Creative destruction is the expression introduced by the ...
Annual unemployment rate and percent is determined with given details in the solution.