Final answer:
The North American Free Trade Agreement (NAFTA) took effect in 1994, aiming to reduce trade barriers between the United States, Canada, and Mexico.
Step-by-step explanation:
The North American Free Trade Agreement (NAFTA) took effect in the year 1994. This agreement between the United States, Canada, and Mexico was significant for its aim to reduce trade barriers and allow goods to flow more freely across the borders of these nations. It was envisioned as a measure to foster closer economic ties and create the world's largest trading bloc, with the intent to compete more robustly in the global economy. Despite political contention and concern among industrial workers in the United States about potential job losses to Mexico, where wages were lower, the agreement was ratified and brought into effect to stimulate trade and investment within North America.