Transformational Leadership Times 1.21: North American Free Trade Agreement (NAFTA)

NAFTA's Inception

In 1992, when President Bill Clinton is elected, the North American Free Trade Agreement (NAFTA) is a campaign issue. Ross Perot, an independent candidate, urges voters to listen for a "giant sucking sound" of jobs going to Mexico (Ellis, 2008). In 1994 NAFTA is implemented. It opens trade between U.S., Mexico, and Canada. While the previous Bush administration designs the law, the current Clinton administration signs the law (WWD: Women's Wear Daily, 2008). Fourteen years later, NAFTA objectives are unclear and reviews are mixed. The research of Day & Shoemaker (2006) suggests that there has been a lack of capacity in sufficiently detecting and acting on critical ambiguous points by leadership within the NAFTA program.

NAFTA Superhighway

Are construction activities currently underway in this country for a possible "American Union," similar to the "European Union" currently in force between European countries? Some media sources appear to support this view (Dobbs, et. al., 2008). The concept is embodied in a free trade NAFTA superhighway linking Mexico, the U.S., and Canada (Dobbs, 2008). Several activities are documented including development of the Trans Texas Corridor I-69. Also, a Kansas State House resolution opposes what is known as the NAFTA railway. Its development is in conjunction with the Kansas City Smart Port which allows the flow of goods "from Mexico's Post of Lazaro Cardenas to the nation's [U.S.] heartland" (Dobbs, 2008, para. 110).