Review chapter 9

How many levels of regional economic integration?

• 4

• 5

• 6

• 7

What associations are free trade?

• 1. Andean

• 1. MERCOSUR

• 1. EFTA, NAFTA

Answer explanation

( Slide 5) A free trade area eliminates all barriers to the trade of goods and services among member countries

European Free Trade Association (EFTA) - Norway, Iceland, Liechtenstein, and Switzerland

North American Free Trade Agreement (NAFTA) and its successor (USMCA) - U.S., Canada, and Mexico

What is the North American Free Trade Agreement (NAFTA)?

•  A trade agreement between the United States and Mexico

•  A trade agreement between Canada and Mexico 

  
  

• A trade agreement between the United States, Canada, and Mexico

• A trade agreement between the United States and the European Union

Answer explanation

NAFTA is a trade agreement between the United States, Canada and Mexico. It aims to promote economic cooperation and eliminate trade barriers between these countries. (Slide 29)

What were some of the key provisions of NAFTA?

• Elimination of most tariffs on traded goods

  
  

• Intellectual property protections

  
  

• Labour and environmental standards

  
  

• All of the above

  
  

Answer explanation

NAFTA includes provisions to eliminate most tariffs on commercial goods, protect intellectual property rights, labor and environmental standards, among others. (slides 30,31)

When was NAFTA signed and into effect?

• NAFTA was signed on December 17, 1992. It came into effect on January 1, 1994.

  
  

•  NAFTA was signed on May 18,1992. It came into effect on January 1, 1994

  
  

• NAFTA was signed on July 21, 1993.  It came into effect on January 1, 1994

  
  

• NAFTA was signed on October 14, 1991.  It came into effect on January 1, 1994

  
  

 These are the most popular form of regional economic integration, accounting for almost 90% of regional agreements

•  Free trade areas

• Customs unions

  
  

• Common markets

  
  

• Economic unions

  
  

Answer explanation

In a free trade area, member countries agree to eliminate or reduce trade barriers such as tariffs and quotas with each other while maintaining their own trade policies with non-member countries. member. This promotes the flow of goods and services in the region and encourages economic cooperation (slide 22).

 In a free trade area:

• barriers to the trade of goods and services among member nations are removed.

  
  

• a common currency is adopted

  
  

• a single parliament determines political and foreign policy.

  
  

•  A common external trade policy is adopted.

  
  

Answer explanation

In a free trade area, the main goal is to eliminate or reduce trade barriers, such as tariffs and quotas, between member countries. This facilitates the flow of goods and services between member countries (Slide 22).

MERCOSUR originated as a(n)_____ between Brazil and Argentina in 1988

• open market

  
  

• free trade pact

•  customs union

• free trade zone

Answer explanation

because it has its origins in free trade (slide 21).

Which of the following is not true of ASEAN?

• Cambodia, Laos, Myanmar, and Singapore are among its members.

  
  

• Its basic objective is to foster freer trade between member countries and to achieve cooperation in their industrial policies.

  
  

•  It has been highly successful in achieving cooperation in its industrial policies.

  
  

• It is punishing free trade agreements with China, Japan, and South Korea.

  
  

Answer explanation

Although ASEAN has made progress in promoting economic cooperation and freer trade among member countries, it still faces challenges in achieving comprehensive cooperation in industrial policy. Industrial policies often involve complex economic and political considerations (Slide 22).

 In early 2006, six CARICOM members and the United States established the_____, which was modeled on the EU's single market.

•  Central American Common Market

  
  

• Central American Free Trade Agreement

  
  

• Caribbean Single Market and Economy. ( CARICOM là vùng bao gồm caribe )

  
  

• North American Free Trade Area