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Free Trade - Essay Example

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Summary
Free trade is both a governance and business management function in which stakeholders develop effective mechanisms that permit unrestricted import and export of goods from their countries to the neighboring countries without restrictions. The growth of international trade and…
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"Free Trade"

Download file to see previous pages The development of free trade in the region is vital in the development of the three economies since most of the problems in the region such as human and drug trafficking affect all the countries. Most of the illegal immigrants setting in both the United States and Canada are Mexican nationals who enter such countries with the hopes of getting jobs. The rising level of unemployment in Mexico is a major cause of the immigration crisis in the region. Such immigrants take advantage of the weak immigration laws in both the United States and in Canada to settle in such territories thereby contributing to crime among other social vices in such territories.
The adoption of free trade policy in the region would open the boundaries of the three countries to invest indiscriminately thereby promote the economic development in each country a feature that would curb the immigration menace in the region and contribute to the development of a peaceful and stable region with minimal cases of illegal immigrants. The labor costs in Mexico are lower than in the other two countries. Most American and Mexican companies therefore wish to develop their manufacturing plants in Mexico. However, the existing laws governing international trade in the region curtails such efforts. This curbs the economic development of Mexico while worsening the social challenges the other two developed economies face. Illegal immigrants cannot obtain any social security service in the United States a feature that compels such individuals to live in the streets peddling drugs and perpetuating other crimes and social vices such as robbery and prostitution.
It thus becomes imperative that the concerned parties understand the essence of developing a free trade area in the region. An economy is a self-sustaining cycle in which the performance of an industry influences the outcome ...Download file to see next pagesRead More
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