ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The correct answer is Great Britain. The North American Free Trade Agreement (NAFTA) is an agreement signed by Canada, Mexico, and the United States, creating a trilateral trade bloc in North America on January 1, 1994. With the coming into force of the NAFTA, the world’s largest free trade area was formed.

Detailed explanation-2: -The correct answer is A) China. The North American Free Trade Agreement, also referred to as NAFTA, came into force in 1994 and its main goal was to promote, create and facilitate the foreign trade between Mexico, Canada, and the United States. Therefore, China was not included in it.

Detailed explanation-3: -North American Free Trade Agreement (NAFTA) established a free-trade zone in North America; it was signed in 1992 by Canada, Mexico, and the United States and took effect on Jan. 1, 1994. NAFTA immediately lifted tariffs on the majority of goods produced by the signatory nations.

Detailed explanation-4: -Bush, Mexican President Carlos Salinas de Gortari, and Canadian prime minister Brian Mulroney agreed to negotiate what became NAFTA. Each submitted the agreement for ratification in their respective capitals in December 1992, but NAFTA faced significant opposition in both the United States and Canada.

Detailed explanation-5: -NAFTA aimed to create a free trade zone between the U.S., Canada, and Mexico.