Analyze the impact of NAFTA on Mexican corn farmers. Why did so many Mexican corn farmers lose their livelihoods as a consequence of NAFTA?(1 point) Responses Mexican farmers could not compete with government-subsidized U.S. corn. Mexican farmers could not compete with government-subsidized U.S. corn. Changes in consumer food preferences from corn toward wheat reduced demand. Changes in consumer food preferences from corn toward wheat reduced demand. NAFTA gave subsidies to Mexican corn farmers to increase production, which flooded the market. NAFTA gave subsidies to Mexican corn farmers to increase production, which flooded the market. Manufacturing jobs that processed the corn left Mexico for the U.S. due to lower wages, reducing the need for Mexican-grown corn
One reason many Mexican corn farmers lost their livelihoods as a consequence of NAFTA is that they could not compete with government-subsidized U.S. corn. The U.S. government provided subsidies to its farmers, allowing them to sell their corn at lower prices than Mexican farmers who did not receive similar support. This made it difficult for Mexican farmers to compete and sell their corn in the market.
Another factor that contributed to the loss of livelihood for Mexican corn farmers was changes in consumer food preferences. With NAFTA, there was a shift in consumer food preferences from corn towards wheat, reducing the demand for Mexican-grown corn. As a result, Mexican farmers faced a decrease in demand for their corn products, which negatively impacted their income and viability as a business.
Furthermore, NAFTA gave subsidies to Mexican corn farmers to increase production, aiming to make them more competitive. However, this flood of subsidized corn into the market ended up causing an oversupply and further lowering prices. This increased competition within Mexico and made it even more challenging for small-scale corn farmers to sustain their businesses.
Additionally, the manufacturing jobs that were involved in processing the corn also experienced a shift due to NAFTA. Many of these jobs left Mexico for the United States, where labor costs were lower. This reduced the need for Mexican-grown corn in the processing sector, further hurting the livelihoods of Mexican corn farmers.
In summary, the impact of NAFTA on Mexican corn farmers was primarily negative. The government subsidies for U.S. corn, changes in consumer food preferences, increased production through subsidies, and the migration of manufacturing jobs all contributed to the decline in livelihoods for many Mexican corn farmers.