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Benefits of NAFTA
- The World's Largest Market: NAFTA, which removes trade barriers between the U.S., Canada and Mexico, will create the world's largest market, with a population of 360 million and a GDP of $7 trillion.
- Growing American Exports: Trade liberalization in Mexico already has allowed American exports to grow from $11.9 billion in 1986 to $40.6 billion in 1992. Under NAFTA, American exports will even rise higher.
- Jobs Created: Increased trade with Mexico under NAFTA will mean more jobs for Americans. One estimate finds 171,000 more net new jobs for Americans.
- Higher Living Standards for Americans And Mexicans: Workers can purchase more goods and services with their salaries only if they produce more. NAFTA will allow greater division of labor and higher productivity, raising living standards for all North Americans.
- Keeping Factories in America: Some American firms locate in Mexico so they can get around high tariffs and sell their products to Mexicans. When trade barriers are removed, factories can remain in America and export to Mexico.
- No 'Great Sucking Sound': Critics claim that with NAFTA, more American firms will move to Mexico to take advantage of low wages. But low wages and high unemployment in Puerto Rico, which has open access to America's market, have not caused a massive business stampede to that island.
- Helping America's Not-So-Rusty 'Rustbelt': Some critics claim NAFTA especially will cost jobs in America's northeastern and north central states. In fact, six of the top twelve states exporting to Mexico are from these regions.
- Curbing Illegal Immigration: As Mexico's economy grows under NAFTA, more Mexicans will find jobs in their own country and fewer will need to flee to the U.S. for economic opportunities.
- Restoring Sovereignty to Individuals: By removing trade barriers, NAFTA will restore the freedom of individuals to dispose of their property as they see fit, buying and selling without government interference.