Chapter 831 World Change

December 17.

Mexican President Salinas, US President Bush, and Canadian Prime Minister Mulroney signed the North American Free Trade Agreement in their respective capitals. The three countries will eliminate tariffs and trade barriers between each other in the next 15 years and become the world's largest trade group.

This is a major event that can be recorded in the annals of world history.

The signing of the North American Free Trade Agreement means that the regional economy will be further strengthened.

At present, countries around the world attach great importance to serving their own economic development by establishing and developing free trade zones, and the emergence and development of free trade zones also have profound reasons and unique functions.

The number of free trade zones around the world is increasing, the topics covered are rapidly expanding, and the level of liberalization has been significantly improved.

The whole world is discussing the North American Free Trade Area. Although this matter has been brewing for several years before, it is not a new thing, but when the agreement is signed, it means that the North American Free Trade Area is officially established.

Generally speaking, regional economic organizations in the form of customs unions and free trade zones that emerged after the war generally have member countries with similar economic levels. From the perspective of international industrial division of labor, most of the member states have a horizontal division of labor to achieve a higher level of competition and complementary relationship.

For example, the European Union is composed of all developed countries. It is a mechanism with similar social systems, economic development levels and historical and cultural traditions. It is jointly promoted by most countries. No country can play an absolute leading role. Therefore, its degree of organization and norms are far higher than other regional organizations, which is also the basic reason for its success.

Europe, from the European Community to the European Union, is an extremely important step in European integration.

In contrast, the North American Free Trade Area is composed of two developed countries and a typical developing country. There is a big gap between them in politics, economy, culture and other aspects. Therefore, the North American Free Trade Area reflects the economic complementary relationship between the United States, Canada and Mexico through vertical division of labor, and promotes the economic development of all parties.

From a historical and economic perspective, there is no precedent for the formation of a free trade zone between countries with such a large gap.

It can be said that the North American Free Trade Area is the first attempt by developed and developing countries to form a free trade zone in the region. Its success or failure has great significance for regional economic cooperation around the world.

In this case, the basic mode of operation of the North American Free Trade Area is that the United States and Canada use their developed technology and knowledge-intensive industries to further strengthen their dominant position in Mexico and expand the Mexican market through the flow of goods and capital; while Mexico can use its cheap labor to reduce costs, vigorously develop labor-intensive products, and export goods to the United States. At the same time, it can also obtain huge investments and technology transfers from the United States to promote the adjustment of its industrial structure, accelerate the replacement of its own products, and obtain more economic benefits in the vertical division of labor. The inseparable economic relationship between the three countries will become the bond of their cooperation.

Liu Tao looked at the news and felt quite emotional.

Ideals are beautiful, but reality is very skinny!

The birth of the North American Free Trade Area is said to be the growing economic strength of the European Union and the rapid expansion of the Japanese economy before. The development of the world situation has brought some unfavorable trends to the United States. The United States can no longer compete with its opponents alone as before. The United States must create a regional economic group with itself as the core that can compete with other economic groups and economic powers to consolidate the United States' world economic position.

In other words, it is for this reason that the United States has great motivation and enthusiasm for establishing a free trade zone, rather than the United States being kind and wanting to help Canada and Mexico.

Unlike the European Union, the North American Free Trade Area has been a North-South regional economic organization with the United States as its core since its establishment. The United States has an absolute leading role in the North American Free Trade Area. The United States is not only the advocate of the North American Free Trade Area, but also the leading country of the free trade area. It occupies an absolute leading and dominant position in the operation of the trade area.

In other words, the North American Free Trade Area is operating in a direction that is favorable to the United States.

But there is no absolute advantage in the world, and advantages and disadvantages have always existed mutually.

History has also proved that the development of the North American Free Trade Area is far inferior to that of the European Union.

Now it is advocating that Mexico will soon become a developed country, Mexico will take off, etc., which in fact proves that it is impossible.

History has long proved that old Mexico has even become a black hole.

However, Liu Tao knows that after the European Community moves towards the European Union and now the North American Free Trade Area is established, other regional organizations will have greater pursuits.

ASEAN, the Arab League, the African Union, etc. will all want to follow suit.

This has to be mentioned, the Asia-Pacific Economic Cooperation (APEC) which was just established a few years ago.

At present, APEC is only a regional economic forum and consultation organization, and is a forum for promoting economic growth, cooperation, trade and investment among various regions in the Asia-Pacific region.

But this APEC will become the highest-level, most extensive and most influential economic cooperation mechanism in the Asia-Pacific region in the future.

Huaxia is now a member of APEC.

Liu Tao looked at the time and left the office, but it was time to get off work.

Back home, with his wife and children, he went to the cafeteria for dinner.

Liu Jingming, who just celebrated his 12th birthday, is already very tall. Liu Jingming, who is already in the sixth grade, looks like an adult.

The other three children are also very strong. Liu Jingming and Liu Yingqing are good at swimming and don't look dark. Liu Qing'an and Liu Manhua play tennis and their skin is tanned.

Liu Tao didn't think much of this. After all, if they want to take this path, they must endure the hardships.

Professional sports, it is not easy to reach the top. You have to pay a lot of sweat and blood and tears. It is the continuous tempering of the body, mind and spirit, and finally reach the top.

For the sake of the four children, Liu Tao had to push for the establishment of national children's group competitions and youth competitions.

At this time, there are no competitions of this age in the country, let alone professionalization and commercialization.

There are no CBA, Chinese Super League and the like at present.

However, CBA is already in preparation and is learning from the NBA to form China's own men's basketball professional league.

It can be seen that China's current sports system is still very imperfect, and there are still many aspects to be done and improved.

Seeing that his child eats more than he does, and that he does not eat what normal people eat, but chicken breast, cauliflower, etc., Liu Tao feels very distressed. However, if he wants to go far on the road of professionalism, self-discipline is a must.

If he lets his child eat and drink like ordinary people because of his distress, then the child will not go far on the road of professionalism, which will harm the child.