Question

Discuss the importance of the North American Free Trade Agreement in making sure that trade is fair in the international environment.

Answer 1

NAFTA ensuring fair trade in international markets:

1. By establishing a common unit, NAFTA is able to negotiate pricing better with other trade blocks such as EU. It enables Canada and Mexico, especially to leverage the large market size to negotiate better trade terms, and establish more competitive prices for its consumers.

2. NAFTA has similarly enabled producers in the region to collectively bargain for better prices and increased market access across the world and also at home, as customs duties and tariffs have been eliminated within the three countries.

3. Some of NAFTA's trade regulations and principles have been applied by countries elsewhere to establish fair trading rules with its neighbours/ amongst its region

Let me know if I have missed anything. Will be happy to add more in comments