Download NAFTA * what is this document saying?

Do-First: Turn in 3 NAFTA Questions
• Get onto Fullmer’s
Twitter Account:
• Read “NAFTA, 20 years
Later: Do the Benefits
Outweigh the Costs?”
• IF No Twitter Read Page
174-175 in textbook.
• SWBAT
– Define NAFTA and
evaluate pros and cons
of Free Trade
Agreements by taking
guided notes and
analyzing textual
sources.
NAFTA
NORTH AMERICAN FREE TRADE AGREEMENT
• NAFTA is important
because it removes most
trade and investment
barriers among the three
main countries in North
America: Canada, Mexico,
and the United States.
• It affects your job future!
• Positions on
Free Trade
Key terms
• Free Trade
• Specialization
Why develop industrially?
• Since WWII Latin American countries have
encouraged industrial development to improve
their economies.
• Mexico in particular has pushed for free trade
policies.
– WHY? Because it leads to more jobs… specialization
of labor, education, higher standard of living
– RESULT: Maquiladoras: factories that export mostly
electronics, clothes, and furniture to the United States
NAFTA- good or bad?
1. Pros
Cons
1. Once barriers interfering with trade were 1. Maquiladoras: An assembly plant in
lifted, the US could export more to
Mexico, along the border between the
Mexico and the US would import more
United States and Mexico.
from Mexico. The citizens of both
2. U.S Jobs lost to Mexico
countries would benefit through
3. Mexico's Farmers Were Put Out of
increased trade.
Business
2. Lower cost of labor is an incentive for US
companies to locate manufacturing
plants in Mexico
3. Their positive trade balance has had a
positive impact on the Mexican economy
- generating more jobs and increasing
GDP.
Effects of NAFTA
• Chilpancingo: Maquiladoras Town
• “Through the NAFTA agreement, the manufacturers, known as
maquiladoras, have infected the Mexican environment by
dumping all the toxic waste on their land just like it was a
junkyard… The workers are used for low wage advantages… On
average they receive 750 pesos which equals out to $75 dollars
per week. What are they supposed to do with $75 when they
have to feed a family?”-Rolando R.
CAFTA
Central America Free Trade Agreement
Pacific Alliance vs Mercosur
https://www.youtube.com/watch?v=pAz-gQd4QkM
Source Overview
• NAFTA
NAFTA Practice
• Read each of the Documents with your
partner.
• Circle whether or not that document
supports NAFTA. Then write down evidence
from the document that justifies what your
circled.