Question

The United States has entered into trade agreements with other countries in order to set rules and expectations to increase trade and commerce. Research either NAFTA or the TPP. How the deal you chose impact or will impact foreign trade. What were the benefits and any negative consequences from entering these types of trade agreements?

Identify groups that are impacted both positively and negatively from this policy (please provide citation used)

Answer 1

TPP deal would be relatively better, as TPP trade area is much bigger than NAFTA, & is world's largest, it is between USA & other 11 nations that border Pacific ocean

TPP covers a wide range of goods & services , like telecom, finance & food safety std, environmental safety,

Cost benefit analysis if new regulations are always done, & affects the foreign policy of nation too.

As tarrifs are reduced among the trading partners, so trade & exports will boost surely.

Benefits

Labor benefit, new jobs are created, & more productive too.

Labor income increases, since withdrawal of different tariff reduces the costs of good.

Consumer benefit , as wide spectrum of goods & services are now available

Negative consequences

TPP may make a nation more vulnerable to financial crisis.

It protects the patent & copy rights, so high paid owners of IP Rights would earn more income thus income inequality will increase more, .