The NAFTA Agreement

question 165

Multiple Choice

The NAFTA agreement

• A)was supported by most economists and people in the business community.
• B)has NOT led to the loss of millions of U.S.jobs to Mexico.
• C)has less economic integration than the European Union.
• D)did not eliminate all internal tariffs among its three members.
• E)All of the answers are true.

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Definitions:

Labor Relations

The study and practice of managing relationships between employers and employees, focusing on negotiation, implementation of agreements, and resolution of disputes.

Industrialization

The process by which an economy is transformed from primarily agricultural to one based on the manufacturing of goods.

Historical Rate

An exchange rate used to convert amounts related to transactions in foreign currencies based on the rate in effect at the time of the original transaction.

Closing Rate

Closing Rate refers to the exchange rate between two currencies at the end of a trading period, used in accounting to convert the financial statements of foreign subsidiaries.