EPF9 The student will demonstrate knowledge of the global economy
Trade Agreements and WTO International trade agreements such as the North American Free Trade Agreement (NAFTA) have tended to reduce trade barriers. Likewise, the World Trade Organization (WTO) seeks freer trade among nations.
Purpose of Trade Agreements Trade agreements establish rules about trade that all parties agree to. These agreements have generally reduced the barriers to trade.
Purpose of NAFTA The North American Free Trade Agreement (NAFTA) established a free-trade zone (Canada, Mexico, and the United States) with the intention of: eliminating trade barriers, promoting fair competition, and increasing investment opportunities.
Role of WTO The World Trade Organization (WTO): administers trade agreements, handles disputes, and provides a venue for negotiating among its member nations.
European Union: The European Union (EU) is a regional trade organization formed to promote trade among countries in Europe by reducing trade barriers and adopting a common currency, the euro.