Friday, November 26, 2010
North American Free Trade Agreement - Minus Food Proucts
With NAFTA being created over 26 years ago the change on tariffs between Canada, Mexico, and the United States has not steered companies from leaving for cheaper labor. The change on free trade or near free trade is still not completely true for Mexico to Canada or Canada to Mexico. While goods produce, made, or created see nearly no tariffs but farm goods do between all three countries. Most agriculture goods to Mexico from Canada and the United States see some type of tariff value. Companies are now leaving for China and other foreign countries for cheaper labor and they fall under a different trade agreement. While our current conditions with unemployment are not solely because of NAFTA but millions of jobs on farms are done by illegal immigrants which can be accredited to NAFTA. Another trade agreement is CAFTA, which South America and Central America are under pressure to sign the agreement for free trade. But nothing is ever free and if it's too good to be true it usually is. Look how NAFTA created a job loss for Americans but was positive for the Mexican population that sneaked across the border. There is no true good example of how the economic is going to be changed in a beneficial way for the North and South America's and Canada if free trade was existent in all areas of trade. There will be a negative change no matter what the government or the document states. Change in labor. financial classes, economic status of the country, and the wealth of the farming industry due to exportation factors.
Tuesday, November 2, 2010
Doha Round
"The Doha Development Round or Doha Development Agenda (DDA) is the current trade-negotiation round of the World Trade Organization (WTO) which commenced in November 2001. Its objective is to lower trade barriers around the world, which allows countries to increase trade globally. As of 2008, talks have stalled over a divide on major issues, such as agriculture, industrial tariffs and non-tariff barriers, services, and trade remedies.[1] The most significant differences are between developed nations led by the European Union (EU), the United States (USA), and Japan and the major developing countries led and represented mainly by China, Brazil, India, and South Africa. There is also considerable contention against and between the EU and the USA over their maintenance of agricultural subsidies—seen to operate effectively as trade barriers.[2]"http://en.wikipedia.org/wiki/Doha_Development_Round
After eight meetings and thousands of attendees and a few hundred issues no agreements are made and the Doha Round ends. The European Union and The United States of America is sought to gain an advantage of benefits from the Doha Round trade talks on helping the undeveloped nations. People felt that the developed nations just pointed fingers blaming other nations for the ending of the trade talks. The overall benefit would have been noted by "A 2008 study by World Bank Lead Economist Kym Anderson[48] found that global income could increase by more than $3000 billion per year, $2500 billion of which would go to the developing world.[49] Others had been predicting more modest outcomes, e.g. world net welfare gains ranging from $84 billion to $287 billion by the year 2015.[1][50] Pascal Lamy has conservatively estimated that the deal with bring an increase of $130 billion. "
With such large numbers due to a change in trade agreements one would think that the Doha Round would have worked out in a different manner. Yet everyone was too worried about someone else getting the upper hand. The US farm bill was said to be the blame by the European Union. Once again everyone wants the help from the United States but finds ways to blame the United States for a bill that was set to be a benefit rather than a burden.
Trade talks are now continuing with the United States and undeveloped nations on the tariffs on United States goods.
The meeting in Cancun, Mexico in 2003 ended up being a waste of time more than 10,000 people are said to have attended and nothing more than a waste of time. New issues were to be discussed by the EU and the USA, and older issues still unsettled and answers wanted to be discussed and worked out by the undeveloped world.
http://www.globalissues.org/article/438/wto-meeting-in-cancun-mexico-2003
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