Liberal and Realists view on NAFTA Essay Example | Topics and Well Written Essays - 750 words

Liberal and Realists view on NAFTA - Essay Example The following paper compares and contrasts liberal and realist views on NAFTA. Liberals argue that free trade is advantageous only when the margin is not at risk of economic manipulation by the central player in the agreement, which is the United States in NAFTA’s case (Chan 7). This argument comes from advocates who believe in the protection of individual freedoms and civil rights, including uncompromising interests like natural surroundings. In contrast, realist advocates emphasize the core significance of power and economic interests. These emphases revolve around the principles of intergovernmentalism, least-common denominator negotiating, and stern limits on future handovers of independence (Chan 12). This realist view suits the most recent events in North America in the course of its regional presence despite originating from the EU. Liberals are against government involvement in top economic projects or activities through projectionist regulations like duties, grants, and quotas (Chan 9). Realists’ logic on government involvement is that a country’s welfare is the main concern over international objectives (Chan 16). Liberals’ focus is on general economic development as proven by rises in GDP. This basis means liberals expected NAFTA to generate a rise in exports of products and services, raise employment rates, raise overseas investments, and trigger general economic growth. In comparison, realists believe a nation should accumulate wealth and power through self-adequacy. As a result, realists were directly against a free trade convention such as NAFTA during its formation in the early 1990s since it endangered the local manufacturing industry through competition and forms trade shortfalls. Liberalism relates to the Dependency theory, which contends that central and marginal economic affairs are concerns for a specific type of fundamental economist (Chan 11).