There was an agreement that was signed by three North American countries, the United States, Mexico and Canada. It was the North Atlantic Free Trade Agreement, otherwise known as NAFTA. This agreement went into effect on January 1, 1994. Within the first year after the implementation of NAFTA, there were quite a significant amount and noticeable results from United States trading with Mexico. Within the first five years it was discovered that Mexico emerged into the second largest trading partner with the United States, passing up Japan. That was an increase of over 113%. There have been many positive results for the North American corporations, consumers and workers as companies find a huge market for exports. Unemployment has gone way down and Wages have increased with the cost of these goods dwindling.
Mexican companies have been able to utilize the resources from the United States more so over than that from Europe or Asia. The NAFTA Treaty makes U.S. consumer products more competitive. As far as agriculture goes the American farmers have been able to help Mexico with their need for corn and cows. In return, Mexico has been able to help the U.S. with vegetables and fruits. There has been a huge environmental impact as a result of this agreement over the years. Telecommunication companies in Canada and America have realized the benefits expanded into Mexico.
Mexico’s economy has defiantly recovered from its recession back in the late 90’s as a result of NAFTA. Economic policies are leading to a lot of growth from the profitable exports it handles, causing trade relationships within the three countries, to become more stable and reliable. The results of this have been very positive for Mexico. Trade under NAFTA has decreased the poverty level that ...