Assignment 2: International economics part 2
Question 1: Analyze and describe the impact of the different forms of regional trading arrangements on international trade.
Regional trading arrangements are agreements between two or more countries within a given region on terms of trade between and among them with the main aim of liberalizing trade as well as coordinating other trade related activities. There are four main forms of regional trading arrangements: free trade area, customs union, common market and the economic union. Each of these forms has specific features which promote trade among the countries involved. In a free trade area, member countries abolish tariffs and other ...