CFBS types of trade unions

Question 1

what is a trade bloc?

Answer 1

when a set of countries trade freely trades with others

Question 2

what is a customs union? example

Answer 2

a group of countries that allow free trade between themselves with a common external tariff on others

Southern African Customs Union (SACU)

European Union (EU) Customs Union

Question 3

what is a common market? example

Answer 3

a group of countries imposing few or no duties on trade with one another

The European Single Market (European Economic Area – EEA)

Mercosur (Southern Common Market)

Question 4

what is a monetary union? example

Answer 4

when states share the same currency

The Eurozone

Eastern Caribbean Currency Union (ECCU)