The U.S.factor of production that is most likely to be made worse off because of NAFTA (because its factor payment will fall)is

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The factor of production that is most likely to be made worse off because of NAFTA (because its factor payment will fall) is unskilled labor. This is because NAFTA allowed for increased trade between the US, Canada, and Mexico, leading to more competition for jobs. Unskilled labor is particularly vulnerable to this competition because their jobs are easily replaced by automation or outsourcing to the other countries involved in NAFTA. Skilled labor and capital may also be affected by NAFTA, but they are better equipped to adapt to the changes and find new opportunities.

The USFactor of Production That Is Most Likely to Be Made