Question

During the 1992 presidential campaign in which he ran as an independent candidate, Ross Perot famously said if NAFTA is passed, Americans would hear a "giant sucking sound" of jobs rapidly leaving the U.S. for cheaper labor markets in Mexico.

It's been 20 years since Perot made his claim, and now it's time for us to make. Research NAFTA and its effects and post to the discussion topic as to whether you think it was a beneficial trade agreement for the U.S. Support your stance with solid facts and figures.

Answer 1

The NAFTa effects which have been empirically observed since 1994 have been incorporated below:

1. Regional cooperation and exports increased fro USA with low cost manufacturing possibilities and higher US Goods competitiveness and tripled trade.
2. Regional trade increased from 293 billion dollars in 2993 ro 1.1 Trillion dollars by 2016
3. US FDI in Mexico increasing from 15 billion dollar to 101 billion dollars
4. Us economy due to NAFTA grew by modest 0.5% and 80 billion dollars

However drawback include:

1. Trade surplusof 1.7 billion dollars in 1993 grew to trade deficit of 54 billion dollars
2. Loss of 6, 00,000 jobs from Us To Mexico and Canada markets.
3. Illegal immigration in USA for higher wages.

Thus in conclusion all in all NAFTA has been witnessed with modest impact on US Economy.