Which of the following is true of the provisions of the North American Free Trade Agreement?
A)It does not allow financial institutions unrestricted access to the Mexican market.
B)It abolishes special treatment (protection)given to Mexican energy and railway industries.
C)It allows lowering of national environmental standards to lure investment.
D)It seeks the removal of most barriers on the cross-border flow of services.
E)It does not deal with the protection of intellectual property rights.

Question

Quizplus · Accepted Answer

The North American Free Trade Agreement seeks the removal of most barriers on the cross-border flow of services, which includes financial services.

Answer: B
 The North American Free Trade Agreement abolished special treatment (protection) given to Mexican energy and railway industries, which allowed for more competition in these industries.

Answers A, C, and E are all false statements. The North American Free Trade Agreement allowed for greater access to the Mexican market for financial institutions, did not allow for the lowering of national environmental standards, and included provisions for the protection of intellectual property rights.

Which of the Following Is True of the Provisions of the North