Friday, November 21, 2008

Why Nafta Won't Be Overhauled

Even if Obama were as intent on modifying Nafta as some of his (mostly primary) campaign rhetoric would seem to indicate, this article, titled [Mexican] Senate Analyzes Redrawing Nafta, demonstrates how hard it would be to go beyond minor tinkering. As the Senators' and experts' comments indicate, the Mexican case for amending the agreement is based on ideas (new protection from American grains, harsher penalties for Americans firms in violation of environmental provisions, lower subsidies for American companies, especially in agriculture) that are anathema for the US. Likewise, the American argument for renegotiating Nafta is based mostly on erecting new barriers for Mexican firms. Whether or not you think that's a good idea from the American perspective, the Mexicans aren't voluntarily going to sign on to it.

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