| Most people when they hear the word NAFTA, think | | | | ...Today the United States, Mexico, and Canada |
| NAFTA, CAFTA, or SHAFTA (as in shafted), but | | | | embark together on an extraordinary enterprise. We |
| that's only because they don't know the complete | | | | are creating the largest, richest, and most productive |
| history of the North American Free Trade | | | | market in the entire world, a trillion market of 360 |
| Agreement. | | | | million people that stretches 5,000 miles from Alaska |
| With Secretary of Commerce and Industrial | | | | and the Yukon to the Yucatan Peninsula. NAFTA, the |
| Development Jaime Serra Puche and President Carlos | | | | North American free trade agreement, is an |
| Salinas of Mexico, U.S. Trade Representative Carla A. | | | | achievement of three strong and proud nations. This |
| Hills, and Minister of International Trade Michael Wilson | | | | accord expresses our confidence in economic |
| and Prime Minister Brian Mulroney of Canada at the | | | | freedom and personal freedom, in our peoples' |
| initialing ceremony for the North American Free Trade | | | | energy and enterprise. The United States, Mexico, |
| Agreement in San Antonio, TX, October 7 [1992]. | | | | and Canada have already seen the powerful and |
| Source: National Archives and Records | | | | beneficial impact of freer trade and more open |
| Administration - Public Papers of the Presidents of | | | | markets. Over the past 5 years, as President Salinas |
| the United States George H.W. Bush: 1992-93, Book | | | | reduced trade barriers under his bold reform program |
| II, Photographic Portfolio | | | | and as Prime Minister Mulroney and I implemented the |
| By Patricia L Johnson and Richard E Walrath | | | | United States-Canadian Free Trade Agreement, trade |
| When we think about NAFTA, most of us | | | | between our three countries has soared. In 1992 |
| automatically think about two things, Bill Clinton and | | | | alone, that trade will reach an estimated 3 billion, up |
| lost jobs. Most people when they hear the word | | | | billion just since 1987... |
| NAFTA, think NAFTA, CAFTA, or SHAFTA (as in | | | | His full speech may be read at the following link at |
| shafted), but that's because they don't know the | | | | the George Bush Presidential Library. |
| history. Bill Clinton has consistently received both | | | | The Clinton administration promoted the free trade |
| praise and criticism for the North American Free | | | | agreement between Mexico and Canada and NAFTA |
| Trade Agreement and little credit for job creation. | | | | would never have been passed without the |
| The fact is there were 23.1 million jobs created during | | | | overwhelming support of the Republican members of |
| Bill Clinton's eight years in office, but the increases in | | | | Congress. |
| payrolls during his tenure have been offset by the | | | | Clinton was for free trade between the three |
| loss of jobs in the George W. Bush [Bush 43] | | | | countries, and NAFTA would be good for the US if |
| presidency due to foreign trade. | | | | the price of crude oil hadn't skyrocketed over the |
| Is Bill Clinton responsible for these job losses? The | | | | past seven years. |
| answer is absolutely not - for two reasons. | | | | The U.S. International Trade report released February |
| The losses we are experiencing in labor markets are | | | | 14, 2008 indicated a 2007 trade deficit with Canada |
| losses due to cheap labor rates in India, China and | | | | of $64.2 billion, The increase in imports from Canada |
| other overseas countries, not due to the North | | | | was primarily due to crude oil and pharmaceuticals. |
| American Free Trade Agreement. | | | | We're also running a 2007 trade deficit with Mexico |
| Second, the North American Free Trade Agreement | | | | of $74.3 billion, for probably the same reason. |
| was a twinkle in the eye of Ronald Reagan as can be | | | | Mexico and Canada are our two biggest non-OPEC oil |
| determined by the following statement made during | | | | suppliers. |
| his speech announcing his candidacy for President in | | | | However, neither of the countries in NAFTA can |
| 1979. | | | | even begin to compare with the $256.3 billion trade |
| "It may take the next 100 years but we can dare to | | | | deficit with China for 2007. No crude oil was |
| dream that at some future date a map of the world | | | | imported from China during 2007. |
| might show the North American continent as one in | | | | The question that should be asked on NAFTA is |
| which the people's commerce of its three strong | | | | who would benefit the most from the North |
| countries flow more freely across their present | | | | American Trade Agreement IF the United States |
| borders than they do today." | | | | was not so dependent upon crude oil as an energy |
| The Canada-United States free trade agreement, | | | | source? |
| CFTA, went into effect on January 1, 1989 and was | | | | Three Presidents, Ronald Reagan, George H.W. Bush, |
| eventually incorporated into NAFTA during | | | | and William J. Clinton promoted the idea over a period |
| negotiations by the George H.W. Bush (Bush 41) | | | | of almost thirty years. |
| administration. | | | | What has not been taken into consideration is the |
| Following is an excerpt made by President George | | | | devastating effect the increased price of oil would |
| H.W. Bush during the initialing ceremony for NAFTA. | | | | have on trade balances between the three |
| This speech was made October 7, 1992 - a month | | | | countries. Just over the past 12-month period of |
| before Bill Clinton was elected to office and three | | | | time, imported petroleum prices have increased |
| months before he took office. | | | | 66.9%. NAFTA is good, crude oil dependence isn't. |