Mutual Advantages For Trade Between Usa And Mexico - Research Paper Example

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The essay "Mutual Advantages For Trade Between Usa And Mexico" describes trade between countries and regions is a recent phenomenon invented by globalization, as claimed by many.The evidence of such transactions can be found in fiction as well as facts, from story books and books on history alike…
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Mutual Advantages For Trade Between Usa And Mexico
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"Mutual Advantages For Trade Between Usa And Mexico"

Download file to see previous pages Goods were sold at high profit by the Americans. The minimum price of a good was 5 cents and 10 cents was considered to be an eighth of a dollar. This shows the devaluation of other currencies in comparison of the US Dollar was prevalent even then. 2 Benefits from Trade in the 18th Century “The Santa Fe Trail developed into a complex web of international business, social ties, tariffs and laws”.3 The Americans exchanged merchandise, horses and oxen in return for silver bullions from the Mexicans initially. With deepening of friendly relations and growth of trade between the Americans and Mexicans, the variety and volume of trade grew, too. The shrewd Americans identified the need for cotton prints, factory products, latest gun and ammunitions and whiskey of the Mexicans, which they supplied profitably. On their return back home, they purchased wool, buffaloes, hides and horses, mules, gold coins, gold dust and silver from the Mexicans which earned them great revenues, in turn. Thus, what followed was symbiotic relation between the two countries through a series of trade transactions.4 Apart from the material aspect to these transactions, there were other benefits as well. Due to the long period of trade between these two countries relations formed between the white men and the native women of Mexico and many of them married these native women Dr. Eugene Leitensdorfer from Missouri, married a Mexican women named Soledad Abreu, who was the daughter of a former governor of Mexico.. This proved to be advantageous for the Americans as these women worked as labor in their fur and skin trade. They also served as mediators between the Mexican men and their business partners.5 Americans who maintained good...
However, after trade relations had lasted for a considerable period of time, the Mexicans began to wonder if the price for this growth was outweighing its benefits. It was evident that the Americans were gaining far more from the trade than the Mexicans. The net result was a transfer of wealth to the west and by the time the Mexicans realized this, it was too late. The indigenous traders had been completely uprooted by the foreigners and the Americans exercised abundant power over the native markets.The congenial trade relations between the two countries have remained unchanged till this century. Mexico is the second largest exporter of US exports and around 11% of its exports are from the US. It is also the third largest trading partner of US forming 10% of US imports and these figures are still rapidly increasing. Around 82% of Mexico's exports go to the US and the trade between them has grown in the last ten years. However, even today the US maintains trade advantages over Mexico as Mexico can never match the US in terms of efficiency and productivity. Thus, the exploitation of Mexico by the US to remains unchanged and the US is the ultimate gainer. It can be concluded that the trade relations between US and Mexico have remained strong from the 18th century along the Santa Fe Trail till present day. The trade between them is highly disproportionate with the US reaping the maximum rewards. This scenario may be altered by the adoption of adequate policy measures by the Mexican government. ...Download file to see next pagesRead More
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