NAFTA - T he North American Free Trade Agreement or NAFTA...

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The North American Free Trade Agreement or NAFTA is an agreement signed by governments of Canada, Mexico, and the United States, creating a trilateral trade bloc in North America. The agreement came into force on January 1, 1994. It superseded the Canada – United States Free Trade Agreement between the U.S and Canada. In terms of combined purchasing power parity GDP of its members, as of 2007 the trade bloc is the largest in the world and second largest by nominal GDP comparison. 1. Why did many textile jobs apparently migrate out of the United States in the years after the establishment of NAFTA? - Because of the average of US textile workers was $10 to $12 an hour compared to rates in Mexico at $10 to $12 a day, many textile jobs migrated out of the Unites. For example, the company Fruit of the Loom Inc., the largest manufacture of underwear in the United States would benefit more and increase their revenue by paying their employee’s less to perform the job. This obviously benefits US consumers, who now have
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This note was uploaded on 06/05/2011 for the course MGT 341 taught by Professor Fogelman during the Spring '08 term at SUNY Albany.

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NAFTA - T he North American Free Trade Agreement or NAFTA...

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