Final answer:
NAFTA is the economic agreement that merged the economies of the U.S., Canada, and Mexico into one of the largest trading blocs in the world, significantly boosting trade between the participating countries.
Step-by-step explanation:
The North American Free Trade Agreement (NAFTA) is the economic agreement that combined the economies of the United States, Canada, and Mexico into one of the world's largest trading blocs.
Established in 1994, NAFTA eliminated or reduced tariffs, taxes, and quotas, allowing goods to flow more freely among these nations. The agreement had economic, industrial, and social impacts across North America, leading to a surge in trade and a complex shift in job opportunities due to changes in export laws and imports.
Trade and development across the U.S.-Mexico border increased dramatically. By 2015, U.S.-Mexico trade surpassed $480 billion, which represented an inflation-adjusted increase of 465 percent over the pre-NAFTA total. Similarly, trade between the U.S. and Canada also saw an uptick due to the reduction in trade barriers.