Distinguish between customs union and free trade area
What will be an ideal response?
A group of states that have reduced or eliminated trade barriers among themselves and have established a common external tariff is called the customs union. A group of states that have reduced or eliminated trade barriers among themselves but maintain their individual tariffs in dealing with other states is called the free trade area.
You might also like to view...
Fire Cat, Inc selected cost data for the year are shown below
Cost of Goods Manufactured $145,500 Work-in-Process Inventory, Jan. 1 19,500 Work-in-Process Inventory, Dec. 31 22,000 Direct Materials Used 18,600 What is the total of manufacturing costs incurred by Fire Cat, Inc during the year? A) $148,000 B) $143,000 C) $22,900 D) $38,100
Anheuser-Busch and Miller Brewing both experienced market failures in the United Kingdom when they used the phrase "light beer" which was misinterpreted as:
A) being low in calories. B) having reduced alcohol levels. C) having light color. D) having less quality. E) having less quantity.