Question: how large is nafta the north american free trade agreement...
Question details
How large is NAFTA?
The North American Free Trade Agreement (NAFTA) is a multilateral
trade agreement
between Canada, Mexico, and the United States that came into effect
in 1994. Real GDP
for the United States–adjusted for exchange rates and differences in
the cost of living–in
1994 was approximately $10.23 trillion.
a) Data on nominal GDP and prices for Canada and Mexico in 1994 are
provided in the
following table.
---------------GDP----------exchange rate-----P/PUSA
Canada --- C$1.10 trillion-----1.36 C$/$-----0.91
Mexico Mex$2.23 trillion-----3.38 Mex$/$-----0.67
Calculate real GDP for the NAFTA area in 1994 (in trillions of U.S.
dollars), adjusted
for exchange rates and differences in the cost of living.
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