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This is the level of economic integration that involves removing trade barriers among members but allowing them to maintain independent external trade policies.
What is a Free Trade Area?
This level of economic integration eliminates trade barriers and includes a common external trade policy.
What is a Customs Union?
This level of economic integration requires significant harmony in fiscal, monetary, and employment policies among member countries.
What is a Common Market?
This is the ultimate form of regional integration where independent states are combined under a single political authority.
What is a Political Union?
This agreement between ASEAN and China, established in 2010, aimed to remove tariffs on 90 percent of all traded goods.
What is the ASEAN-China Free Trade Agreement?
The European Union is an example of this type of economic integration.
What is an Economic Union?
This trade agreement abolished tariffs on nearly all goods traded between the United States, Canada, and Mexico.
What is NAFTA (North American Free Trade Agreement)?
The Maastricht Treaty committed the European Union to adopt this in 1992.
What is the Euro?
This 1957 treaty laid the groundwork for the creation of the European Economic Community.
What is the Treaty of Rome?
This European body proposes EU legislation, implements it, and monitors compliance.
What is the European Commission?
In 2018, almost all African nations signed an agreement to create this continent-wide free trade area.
What is the African Continental Free Trade Area (AfCFTA)?
This South American regional integration effort operates as a partial customs union and includes Bolivia, Colombia, Ecuador, and Peru.
What is the Andean Community?
This term describes when low-cost producers within a free trade area replace high-cost domestic producers.
What is Trade Creation?
This form of economic integration entails adopting a common currency, harmonizing tax rates, and pursuing a unified external trade policy.
What is an Economic Union?
The political motivation behind regional integration aims to reduce the likelihood of this type of conflict.
What is violent conflict or war?
This trade agreement replaced NAFTA.
What is the United States-Mexico-Canada Agreement (USMCA)?
This treaty committed the European Community countries to establish a single market by 1992.
What is the Single European Act?
Mercosur aims to achieve this level of economic integration, involving free movement of production factors.
What is a Common Market?
This trade bloc originated as a free trade pact between Brazil and Argentina and later expanded to include Paraguay and Uruguay in 1990.
What is Mercosur?
This was the major concern leading to the UK's withdrawal from the EU, officially known as Brexit.
What is the loss of national sovereignty?
The most enduring Free Trade Area, established in 1960, is this group including Norway, Iceland, Liechtenstein, and Switzerland.
What is the European Free Trade Association (EFTA)?
This agreement, initially launched in 1969 but relaunched in the late 1980s, aims for free trade among member countries in Latin America.
What is the Andean Pact?
The economic integration between 15 East Asian and Pacific nations is known by this acronym.
What is RCEP (Regional Comprehensive Economic Partnership)?
This concept argues that regional integration only makes sense when the trade it creates exceeds the trade it diverts.
What is Trade Diversion?
This African trade bloc, launched in 2015, aimed to create a large free trade area across East and Southern Africa by combining existing regional communities.
What is the Tripartite Free Trade Area (TFTA)?