The paper "Pros and Cons of Free Trade Agreements" is a perfect example of micro and macroeconomics coursework. I think free trade agreements like the trans-pacific partnership that has been proposed. However, some free trade agreements are controversial due to the complications that are associated with trade agreements. For example, it is through free trade agreements that the economy of the United States experienced a growth of around 5% annually. The partnership of the Trans-pacific is usually a trade agreed formed between the United States, Australia, Japan, Singapore, Vietnam, Malaysia and New Zealand (Hertel, 631).
The final proposal of the partnership was signed in the year 2016 in New Zealand, even though in nowadays the proposal cannot be ratified because of the withdrawal of the United States from the partnership in the year 2017. Free trade agreements Free trade agreements have some benefits to employees, organizations among other stakeholders. The stakeholders can experience the benefits of the free trade agreements because of the increased foreign direct investment. It is through the increased capital flow where job opportunities can be increased leading to the creation of jobs for many employees and expansion of organizations because of increased investments from foreign countries (Baier, 82).
For example, in the United States during the former administration of President Obama, made a claim that free trade agreement led to the promotion of the economic growth, enhancement on innovation, the creation of job opportunities and also improving the standards of living among others. However, the partnership of the Trans-pacific comprises of various measures which usually reduce the non-tariffs as well as the tariff barriers which affect trade. Also, the major aim of the participating countries was to complete the negotiations of the year 2012, whose negotiation process was prolonged due to disagreement over various issues such as the agriculture and also investments (Baier, Scott, and Jeffrey, 67).
However, the finalized agreement of the partnership was signed in the year 2015, and then the agreement was enforced after it was ratified by more than six member states. The first free-trade agreement which the United States entered Israel was effected in the year 1985, while its second agreement with Canada was effected in the year 1989.
However, the pursuit of trade agreements in the United States has intensified. For instance, in the year 2001, the U. S entered into a trade agreement with Jordan. Also, negotiations have been conducted concerning the free-trade area covering the five central countries of America inclusive of the United States. In the year 2002, all the nations that had entered into free trade agreements with the United States got 37.2% on exports and also 31 percent of imports (Hertel, 630). However, even though all the nations that are usually covered by the free trade agreements have already been negotiated, the agreement has not been approved.
The long-standing policy of the United States of providing support to the trade liberalization which is multilateral has always been consistent and also well established. Moreover, the trade liberalization is usually based on the empirical evidence concerning the benefits which the participating nations accrue from the multi-lateral trade (Tsogas, 70).