NAFTA - Managerial Economics Essay Example | Topics and Well Written Essays - 500 words

NAFTA - Managerial Economics - see ExampleIn addition to labor concerns, opposition to NAFTA was strong among environmental groups, who contended that the treatys anti-pollution provisions were inadequate. To ease concerns that Mexicos starting time wage structure would cause U.S. companies to shift production to that country, and to ensure that Mexicos increasing industrialization under the accordance would not create environmental pollution to a harmful degree, special side agreements were included in NAFTA. Under those agreements, the tri-national grouping agreed to establish appropriate commissions to handle labor and environmental issues. The commissions had the power to overthrow steep fines against any of the member governments that failed to consistently impose its laws.There take up been criticisms regarding NAFTAs implementation of environmental breastplate provisions. Mexico, together with Canada, has been repeatedly cited for environmental malfeasance. Also, many ob servers have charged that the three governments have been lax in ensuring environmental safeguards since the agreement went into effect (Wikipedia).The NAFTA members are autonomous states that have yielded some of their sovereignty to establish and rear a treaty that would economically benefit some 365 million people in the region, but they have retained their power to determine their principal economic and social policies. In other words, the submit interchange arrangement does not include a supranational government that would enforce policies from the center. Consequently, each state is free to determine its policies, subject only to agreements it has committed itself to implement.An important consideration in this analysis is the fact that Mexico, unalike the United States (and Australia), is a signatory to the Kyoto Protocol to the United Nations Framework on Climate Change (UNFCCC) which aims to regulate greenhouse gas emissions (GHG). The Kyoto protocol is concerned with t he reduction of global pollution but requires less