1. C 2. A 3. D 4. B 5. United States and Canada 6. eliminate many trading and investment barriers while improving the economies of Canada, United States, and Mexico. 7. Which statement below is not an economic impact of the Northern American Free Trade Agreement? Mexican businesses have relocated to the United States where labor costs are lower. 8. Trading between the United States and Canada has been problematic at times due to concern over the contamination of Canadian beef exports due to mad cow disease.