<P> University of California, San Diego economics professor Gordon Hanson has said that NAFTA helped the US compete against China and therefore saved US jobs . While some jobs were lost to Mexico as a result of NAFTA, considerably more would have been lost to China if not for NAFTA . </P> <P> The US had a trade surplus with NAFTA countries of $28.3 billion for services in 2009 and a trade deficit of $94.6 billion (36.4% annual increase) for goods in 2010 . This trade deficit accounted for 26.8% of all US goods trade deficit . A 2018 study of global trade published by the Center for International Relations identified irregularities in the patterns of trade of NAFTA ecosystem using network theory analytical techniques . The study showed that the US trade balance is influenced by tax avoidance opportunities provided in Ireland . </P> <P> A study published in the August 2008 issue of the American Journal of Agricultural Economics, found NAFTA increased US agricultural exports to Mexico and Canada, even though most of the increase occurred a decade after its ratification . The study focused on the effects that gradual "phase - in" periods in regional trade agreements, including NAFTA, have on trade flows . Most of the increase in members' agricultural trade, which was only recently brought under the purview of the World Trade Organization, was due to very high trade barriers before NAFTA or other regional trade agreements . </P> <P> The U.S. foreign direct investment (FDI) in NAFTA countries (stock) was $327.5 billion in 2009 (latest data available), up 8.8% from 2008 . The US direct investment in NAFTA countries is in nonbank holding companies, and in the manufacturing, finance / insurance, and mining sectors . The foreign direct investment of Canada and Mexico in the United States (stock) was $237.2 billion in 2009 (the latest data available), up 16.5% from 2008 . </P>

Why was the north american free trade agreement (nafta) established