Environmental Impact Of Nafta example essay topic

THE BAD EFFECTS OF THE NORTH AMERICAN FREE TRADE AGREEMENT Free Trade, interchange of commodities across political frontiers without restrictions such as tariffs, quotas, or foreign exchange controls. Tariff, a tax levied by a government on imports and exports. Foreign Exchange, currency and money claims, such as bank balances and bank drafts, expressed in the equivalent value in foreign money. North American Free Trade Agreement (NAFTA), a pact that calls for the gradual removal of tariffs and other trade barriers on most goods produced and sold in North America. NAFTA became effective in Canada, Mexico, and the United States on January 1, 1994. NAFTA forms the world's second largest free-trade zone, bringing together 365 million consumers in Canada, Mexico, and the United States in an open market.

Looking into a greater depth, it is noticed that NAFTA is not all that great. Economically, many jobs have been lost, wages have dropped, and trade deficits decreased in the United States due to NAFTA. NAFTA also promised to raise the standard of living in Mexico but failed. Socially / Culturally, Canada has become the 51st state. Magazines in Canada are mostly U.S. or contain U.S. ads.

Canadian television is not watched as much any more because everyone watches U.S. stations. Environmentally, the US / Mexican border has become a virtual cesspool. There are many repercussions of increased activity creating hazardous waste. NAFTA opened the US borders to trucks that do not meet US safety standards.

There has been many birth defects due to NAFTA, and NAFTA weakened safety inspections. All of these points prove one thing. Looking at the economic, social / cultural, and environmental impact, it is visible that NAFTA has not been beneficial, but in reality very unfavorable. Looking at the economic impact of NAFTA, it is visible that it is not beneficial to the US. Many jobs that were in the United States, have move to Mexico. So many corporations chased lower wages to Mexico that America has lost about 420,000 jobs and as our factories close, the impact on local economies and tax revenues is hurting small businesses, hospitals and entire communities.

(Internet) (see figure 2, next page) The cost to work in Mexico is much lower than the cost in the US so the companies are moving to Mexico. They may save some money but the amount of job losses impacts the US communities immensely. Wages in the United States have decreased. Imports from low wage countries, creates a high wage inequality. In a recent NBC / Wall Street Journal poll, 58% of those surveyed have hurt wages and cost jobs. (Not happy after NAFTA) These people are right.

Once again, it is seen that is cheaper inMexico to run a business, so companies are moving there as quick as they can. Due to the fact that it is less expensive to run a business in Mexico, it is less expensive to import from Mexico. The United States has imported many more products to Mexico that they have exported. The United States had a modest merchandise trade surplus with Mexico in 1993 and 1994, on the order or $2 billion each year. In 1995 and 1996, this surplus shifted to a deficit of around $16 - $17 billion each year, as U.S. imports of Mexican goods outpaced exports to Mexico. (Internet) (see figure 1, page 4) It is clearly noticeable that because of NAFTA, the United States has this huge deficit.

It was also predicted by Gary Clyde Hufbauet and Jeffery J. Schott that NAFTA would in fact create a higher surplus of around $7 - $9 billion each year and in reality it was turned into deficit of $16 - $17 billion each year. (see figure 3, next page) When NAFTA came into effect, a promise was made to increase the standard of living in Mexico, but failed. Critics also point out the agreement has failed in its goal to create sufficient jobs in Mexico to help raise the standard of living... NAFTA has created about 1.5 million new jobs in Mexico. But most of these jobs pay only slightly higher that positions not related to NAFTA.

(State Appoints 10 Committees to Study Economic, Political, & Socioeconomic Impact of NAFTA on Mexico) Although NAFTA has produce 1.5 million jobs, they pay so little that it does not increase the standard of living for Mexico. The economic impact of NAFTA sure does not seem too good. Jobs have been lost, wages have been decreased, US trade deficits have increased, and promises were broken because of the failure to raise the standard of living inMexico. All of these prove why NAFTA has not been all that beneficial. Socially and culturally, NAFTA has not been all that great either. Think of the concept of Canada becoming the 51st State.

The magazines in Canada are mostly US and the magazines that are Canadian, contain American add in them. Also, Canadian television is not watched anymore because NAFTA allowed US stations in Canada. In Canada, there are many foreign influences. For instance, Canada is swamped with American magazines. Most of the Canadian magazines contain American adds in them as well. The media in Canada is also swamped with American television.

Many Canadian families watch American television today because of the free trade. NAFTA allowed US television companies to broadcast in Canada. All three of these influences to one thing. Where has our Canadian culture gone to That is the question. If a person was asked to say one TV station, they would probably say FOX, which is American. If a person was asked to say one magazine brand, they would probably say TIME or SPORTS ILLUSTRATED.

(Internet) Both of these magazines are American. It just goes to show that NAFTA has influences our lives and destroyed our cultural backgrounds. Socially and Culturally, NAFTA has changed our lives. Magazines in Canada are mostly US or contain US adds in them. Canadian television is not even watched as much because US stations are now broadcasted in Canada. This sure puts a damper on the benefits of NAFTA just as the environmental impact of NAFTA.

The US / Mexican border is disgusting, there is too much hazardous waste created now, there have been many birth defects caused by NAFTA, food safety inspections have been weakened and NAFTA opened theUS border to trucks that are unsafe. First of all, the US / Mexican border is down right disgusting. TheUS - Mexican border has become a virtual cesspool. It has become a breeder of malaria and hepatitis and the Rio Grand is being referred to as a 2000 - mile long Love Canal (NAFTA fails the Environment) It is clearly noted that the manufacturing facilities in Mexico have created this problem. Manufacturing facilities in the Maquiladoras continue to pump millions of tons of pollutants intothe air, ground and water and millions of gallons raw sewage are discharged daily into the waterways.

Environmental controls are virtually non - existent. (NAFTA fails the Environment) The unregulated stampede by US businesses to open factories south of the Mexican border has turned an environmental danger zone into North America's cesspool. NAFTA has intensified severe problems of water and air pollution and hazardous waste dumping, and increased the incidence rates of certain diseases and birth defects in the border region. Public Citizen says, the incidence of neural tube birth defects hasnot improved since NAFTA took effect in 1994, and may actually be increasing.

The rate of anencephaly (a rare birth defect in which full - term babies are born with incomplete or missing brains and / or skulls) has declined nationally in the US but increased in Texas. Cameron county, Tex., in which Brownsville is located, is particularly affected. Brownsville's sister city is Matamoros, Mexico, and a new 1995 epidemiology report, correlating 12 years of Matamoros industrial activity and Brownsville anencephaly rates, finds that the prevalence of anencephaly is strongly correlated tothe level of activity at the nearby Matamoros m aquila zone. (Nafta's environmental problems) It is very clear that NAFTA has created this environmental problem. This cesspool of diseases is just one of many problems. NAFTA has also weakened safety inspections of the transports that cross the US / Mexican border.

Texas Attorney General Dan Morales said, There are bald tires, faulty brakes, faulty steering systems, mechanical problems and concerns about driver training. Heaven forbid if it were to take a fatal accident to get the attention of federal officials. (NAFTA Rule Ushers in Unsafe Trucks) The transports were allowed to pass through even though they were unsafe becauseof NAFTA. NAFTA weakened the safety inspections and travel restrictions forthe first time on US and Mexican trucks carrying goods and equipment to and from border states. Mexican trucks routinely carry toxic waste, jet fuels and pesticides, yet fail US safety standards. (NAFTA Rule Ushers in Unsafe Trucks) Another concern is that unrestricted travel will cause an increase in drug trafficking from Mexico.

There has been numerous amounts of trucks caught being unsafe recently. In one recent period, inspectors at Laredo turned back 530 of 744 Mexican trucks for safety violations. Nearly half exceeded weight limits. Morales says a quarter of Mexican trucks carry potentially deadly hazardous materials. (NAFTA Rule Ushers in Unsafe Trucks) It is very clear that NAFTA has had a bad effect on the environment because of the unsafe trucks. NAFTA is unfavourable because economically, social / culturally, and environmentally, it has not been beneficial.

Economically, it is seen that NAFTA hasnot been beneficial because many Americans lost jobs, wages decreased, there was a huge US deficit and NAFTA failed to increase the standard of living in Mexico. Socially / Economically NAFTA was also ineffective. The American influence has ruined our cultural backgrounds. Environmentally, NAFTA has been very bad.

The US / Mexican border is full of disease, hazardous waste is in excess, there are many birth defects becauseof this, and NAFTA weakened safety inspections and trucks were able to travel eventhough t they did not meet the US standards. NAFTA should have been looked into a lot more in debt to realize what they were getting into. Free trade can be very beneficial forthe world but it is very clear that NAFTA has not been.