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North American Free Trade Agreement

Attached is a paper on NAFTA, argue against the points made in the paper, using one reliable source, found on the internet.


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Theoretically, free trade generally improves the economies of both partners. Free trade agreements (FTAs), such as NAFTA, should permit each country to focus on its comparative advantage, so everyone profits. An open economy leads to concentrated costs (and diffuse benefits) in the short run and significant benefits in the long run. Protectionism generates pain in both the short and long run. But what happens in fact may be quite different from theory.

You have two arguments to use against those mentioned in the paper. First, there are significant problems with the way some NAFTA statistics are complied. This may not be something you can establish conclusively, however. The second issue relates to fairness.

First, the statistical problem. This web site:
lists the main ones, which are
(1) total exports are not a good measure of employment effects of trade; foreign exports have ...