NAFTA's Impact on North American Trade and Economy

The video explains NAFTA, a trade agreement between the USA, Canada, and Mexico, highlighting its benefits like increased trade and job creation in Mexico, and drawbacks such as job losses in the USA and environmental issues. It discusses the transition to USMCA, which addresses some of NAFTA's issues by introducing new labor standards and market access provisions.

What was one of the main benefits of NAFTA for American farmers?

• Subsidies for local farming

• Ability to sell more produce, especially to Mexico

• Higher tariffs on imported goods

• Increased access to European markets

Which of the following was a negative impact of NAFTA on the U.S. economy?

• Higher labor costs in the U.S.

• Increased oil prices

• Loss of jobs as factories moved to Mexico

• Decreased trade with Canada

What environmental issue was associated with maquiladoras in Mexico?

• Sustainable energy practices

• High pollution taxes

• Lack of environmental standards compared to the U.S. and Canada

• Strict environmental regulations

What was one of the original goals of NAFTA that was not achieved?

• Eliminating trade with Europe

• Raising labor costs in Mexico

• Increasing tariffs on Canadian goods

• Reducing illegal immigration from Mexico to the U.S.

Why did small Mexican farmers struggle under NAFTA?

• Increased competition from cheaper American goods

• Lack of access to water resources

• Increased labor costs

• High export taxes

What is the new trade agreement that replaced NAFTA?

• TPP

• TTIP

• USMCA

• CETA

What is a significant change introduced by the USMCA regarding labor?

• Elimination of labor unions

• Mandated inspections for labor violations

• Decreased minimum wage

• Increased tariffs on labor

Under the USMCA, what percentage of automobile parts must be produced within the three-nation bloc to be duty-free?

• 60%

• 75%

• 90%

• 50%

What new market access did Americans gain under the USMCA?

• European automobile market

• Canadian dairy market

• Asian electronics market

• Mexican oil market

What is the expected outcome for the USMCA in Canada's parliament?

• Renegotiation

• Indefinite delay

• Approval

• Rejection