16 Oct

Which Of The Following Is True Of The Provisions Of The North American Free Trade Agreement

The United States and Canada signed a bilateral free trade agreement (CFTA) on October 3, 1987. The free trade agreement was the first bilateral free trade agreement of economic importance signed by the United States.3 Implementing legislation4 was approved by both houses of Congress under the Accelerated Authority – now known as the Trade Promotion Authority (TPA) – and signed by President Ronald Reagan on September 28, 1988. While the free trade agreement sparked an important political debate in the United States, it marked a turning point for Canada. The controversy surrounding the proposed free trade agreement led to the so-called “free trade election” in 1988, in which incumbent Progressive Conservative Prime Minister Brian Mulroney, who negotiated the agreement, defeated Liberal Party leader John Turner, who promised to reject it if elected. After the elections, the free trade agreement was adopted by Parliament in December 1988 and entered into force on 1 December 1988. January 1989 between the two nations in force. At the time, it was arguably the most comprehensive bilateral free trade agreement negotiated in the world and containing several historic provisions. The Clinton administration negotiated with Canada and Mexico a parallel agreement on the environment, the North American Agreement on Environmental Cooperation (NAAEC), which led to the creation of the Commission for Environmental Cooperation (CEC) in 1994. .

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