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Reciprocity Canada Case Study

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Did The Concept Of Reciprocity Benefit Both Canada And The United States? The concept of reciprocity is crucial to the growth of a combined North American policy. Both Canada and the U.S. have benefited from such trade deals. The term reciprocity derives from the origin free trade. Free trade is; the removal of protective tariffs (taxes) on all natural resources. In this case; between Canada and the United States. Free trade and reciprocity have been very important issues in Canadian history, as they have had two conflicting factors: the desire for beneficial economic ties with the United States and, the fear of even closer economic ties; leading to American domination over Canada and even annexation. The free trade agreement was made to …show more content…

Although it has fallen short to live up to the anticipation of the agreement and what was promised in the agreement such as; generating jobs, and regional economic integration. Trade relations have been very sustainable for many years, and U.S. manufacturers created supply chains across North America that have made companies more globally competitive, creating a better marketplace. The First of 2 Free trade agreements was the Canada United States Free Trade Agreement. The agreement like, N.A.F.T.A was based on the concepts of free trade that came into affect On October 4th , 1987. The agreement was signed between prime minister Brian Mulroney. The main idea of the agreement was to eliminate the majority of the existing tariffs or taxes on products traded among the United States and Canada. This Agreement would play a pivitol role in the 1988 federal election in Canada where the election was fought almost entirely on the issue of the C.U.S.F.T.A. The liberals and the NDP or the “anti free trade parties” opposed this agreement with The United States and wanted to re-negotiate or cancel the deal permanately.In that election, more Canadians voted for anti free trade parties the liberals and the NDP but the split caused more seats in parliament to be won by the pro free trade Conservatives. Mulroney and the PCs had a majority government, and were allowed to easily be able to pass the 2 free trade agreements C.U.S.F.T.A and N.A.F.T.A

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