Opinion
The CEFTA has a lot of benefits that come along with it and does a lot of good to those involved. When boundaries between nations become liberalized free-trade area, it increases the market of the Member States. Thus, the industrial enterprises of each country of the CEFTA can increase their production in order to meet the increasing demand of goods and services needs. It also contributes to the efficiency in production because the demand for goods and services in the free trade zone leads to higher efficiency of industrial production processes. Since all Member States would compete for the business market, an increase in efficiency would be inevitable. The industrial efficiency would lower wages and raw material costs in return. CEFTA also leads to lower consumer prices having the economic competition, when companies compete, the consumers benefit directly from it. CEFTA also creates new job opportunities as free trade zones always stimulate the labor market. CEFTA, among other free trade organizations manage the maintenance of peace because having free trade agreements causes the relationships between countries to become stronger bonds. Disputes are also resolved constructively and the rules are better than the power. Free trade agreements also decrease the cost of living as well as advance freedom of choice for consumers since more products are available from countries with different climates. CEFTA also provides higher income to workers and gives companies more of an opportunity to sell, not only to their own cities population but those of other cities as well. The more successful a company, the larger it gets and the more workers it needs which promotes effect of growth and employment. All in all one can say that the CEFTA’s agreement to promote free trade between countries is a positive thing and that there are very little if any negative side effects to it.
Bibliography
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