stages of trade integration - Economic Flashcards
1
Q
a free trade area is?
A
a group of countries where all barriers to trade in goods are removed - no tariffs.
2
Q
a customs union
A
a free trade area with a common external tariff.
3
Q
what is a common market ?
A
a custom union with free movement of labour and capital
4
Q
what is an economic union?
A
it is a common market with harmonised economic, social and taxation polices
5
Q
what is a economic and monetary union?
A
an economic union with a common monetary policy.
