4.1.5 Trading bloc Flashcards
What is a common market?
A market where goods, labour and capital can move freely across the member states; tariffs are generally removed and non-tariff barriers eliminated, or at least reduced/
What is a customs union?
A union where member states remove all trade barriers between themselves and members adopt a common set of barriers against non-members.
What is an economic and monetary union?
An economic union that uses a common currency.
What is an economic union?
A type of trade bloc involving both a customs union and a common market?
What is a Free Trade Area (FTA)?
A region where member states remove all trade barriers between themselves, but each member state nevertheless keeps different barriers against non-member states.
What is a Preferential Trade Agreement (PTA)?
A type of trading bloc where certain types of products from participating countries receive a reduced tariff rate.
What is a Regional Trade Agreement (RTA)?
An agreement made between two or more countries within a geographical region, which is designed to facilities trade by bringing down barriers.
What are rules of origin?
A system of allocating certificates whereby a defined amount of a product or service must be certified as being created within that region.
What is a single market?
A market where almost all trade barriers between members have been removed and common laws or policies aim to make the movement of goods and services, labour and capital between countries as easy as the movement with each country.
What is a trading bloc?
A group of countries that has signed a regional trade agreement to reduce or eliminate tariffs, quotas and other protectionist barriers between themselves.
