International Business - International Business Section 3
39. Which of the following has been incorrectly matched?
- A
A free trade area. Members remove trade barriers among themselves but keep their separate national barriers against trade with the outside world.
- B
A customs union. Members remove all barriers to trade between them and adopt a common set of external barriers
thereby eliminating the need for customs inspection at internal borders
- C
A common market. Members allow full freedom of factor flows (migration of capital and labor) among themselves
in addition to having a free trade area
- D
None of the above.
