This study paper analyzed on which it sees before agreement which is already contracted World-wide from diffusing Free Trade Agreement acceptation North American Free Trade Agreement(NAFTA), European Union(EU), Southern Common Market(MERCOSUR) in the ...
This study paper analyzed on which it sees before agreement which is already contracted World-wide from diffusing Free Trade Agreement acceptation North American Free Trade Agreement(NAFTA), European Union(EU), Southern Common Market(MERCOSUR) in the object before and after contracting these agreements for the trade flow analysis and economic result.
First, Before and after Agreement contracting Country analyzed trade it flows result, As one variable where the member country for import and export change becomes independent from the North American Free Trade Agreement from the case world of this united states which examination is difficult an originating yes or no in NAFTA beginning most big market the effect whose North American Free Trade Agreement contracting is not big influence, But In the case of Canada and Mexico appeared that the inside of area trade specific gravity against the United States with increasing that.
The degree of dependence upon foreign trade against Canada and Mexico were gradually increased in United States, Economic of North American area have been reorganized around United States in the center.
Consequently, The result trade structure of the Free Trade Agreement market size if big economic in the center is the current events point where the thing appears from analysis is a possibility of doing.
The case of European Union, May of 2004 years, The new regulation the remaining 15 foundations of a country which except 10 foundations of a country which join with the fact that the trade size or trade specific gravity of the result investigation target country all inside of area national for it analyzed the inside of area trade size of the member countries in the object increases.
It thinks with the fact the magnification of the inside of area trade which is caused by with removal of tariff and Non-tariff trade barrier of member country and trade creation effect the new member nation is joined together with increase.
The case of Southern Common Market, The inside of area trade specific gravity came to be high.
Specially, while trading in member country trade name for begin of the MERCOSUR the inside of area degree of dependence upon foreign trade against leading Argentina and Brazil relative with high.
Also against a rate of economic growth and an investment section with the tool of economic result analysis from the result North American Free Trade Agreement which it analyzes it comes from in 90's long-term boom of the United States economy which is a most big market from the whole world and even in Canada and Mexico which are appeared a NAFTA member country the spread effect. The inside of area investment was being activation forecast and actually the effect were not big so with departure the one side NAFTA.
But the investment specific gravity which is an inside of area foreign nation of Canada force puts on in continuous increase of the investment which is a foreign nation from of United States and the features were appeared more and more increasing it. The Case of Mexico is appeared that the investment of United States is big specific gravity, The other side Mexico investment of Canada is showing in a deep undulating features.
The Magnification of European Union is uncertain about direct influence in economic growth and income leveling instrument improvement of the new member nation signatory. But 1993 years with departure after of single market the FDI influx is increased. 1999 years when the Euro money is introduced in standard is showed more increase.
From 2000 year latter which the expense increase is caused by high oil price and the discontinuance of the meat export is caused by foot-and mouth disease, and The FDI influx with the EU area is decreased from the economic stagnation of the Europe area with inflation and inconsistency policy.
The whole rate of economic growth of the case member countries of Southern Common market was until previously 1995 years with whole market size together rate of economic growth of the various nations a lot with the expectation feeling regarding an integration and positive effort of each member country wild for improvement.
Also with investment opening where the MERCOSUR is economic stability and the private management and so on foreign nation of 1990's South America area to join in and as the economic integrated body 1980's phase notification a lot the investment which was foreign nation only rapid increase.
Besides, Between member nations of Southern Common Market are increased a mutual investments. But Brazil and Argentina which are a departure after inside of area large country of the MERCOSUR Uruguay and paraguay which got a of course inside of area smallness country reflection profit of FDI magnification. but most FDI were concentrated in inside of area Argentina and Brazil.