Question

In 1994, Canada signed a treaty known as NAFTA, the North American Free Trade Agreement. Which of these actions would MOST likely be addressed by NAFTA?

A) establishing an embargo on sugar cane imported from Cuba
B) eliminating tariffs placed on cars imported from the United States
C) creating quotas on all agricultural products made in Mexico
D) ending any trade barriers between Canada and the European Union

Answer 1

B) eliminating tariffs placed on cars imported from the United States

Step-by-step explanation:

NAFTA is a treaty between the United States, Mexico and Canada to create a free market in which tariff barriers and investment restrictions are removed. According to this, options A and D are not valid as the treaty is between the US, Mexico and Canada. Also, option C is not the answer because this treaty would not create quotas as its goal is to eliminate barriers. So, the answer is eliminating tariffs placed on cars imported from the United States.

Answer 2

(B) would be the most correct answer. Seeing as NAFTA concerns the idea of "free trade," removing tariffs for items from the US would be within the purview of such an agreement. Any barriers to trade between the North American countries would be lifted as a result of the agreement.